DESPITE the rapid growth of ride-hailing and delivery platforms in the country, its gig economy continues to fall short of even the most basic standards of decent work, according to a new Fairwork Philippines report.
Now in its third year, the study found that none of the nine major platforms operating locally-Angkas, GrabCar, GrabFood/Express, Foodpanda, JoyRide, JoyRide Car, Lalamove, Maxim, and Move It-fully met the five principles of fair work covering pay, conditions, contracts, management, and representation.
GrabCar topped this year’s ranking but earned only 3 out of 10 points, followed by GrabFood/Express with two.
Angkas, Lalamove, and Move It received one point each, while Foodpanda, JoyRide Car, JoyRide MC Taxi, and Maxim scored zero.
‘The results show very minimal evidence of basic standards in fairness of working conditions, contracts, and management,’ the report said, noting there has been ‘little to no substantive improvement in pro-worker policies since 2022.’
The report noted that most platform workers still fail to earn the minimum wage after deducting daily expenses such as fuel, mobile data, and maintenance costs.
‘Some workers reach the minimum wage threshold in terms of gross income, but fall short when work-related costs are taken into account. Thus, workers tend to strategize usually by putting in long hours of work,’ it said.
Because they are treated as independent contractors, riders and drivers shoulder all operating costs and social contributions, often working up to 16 hours a day just to break even.
Only GrabCar was credited for providing adequate safety training and free accident insurance.
‘The app also provides overspeeding alerts and fatigue reminders when workers exceed safe driving hours. In addition, the AudioProtect feature allows for in-app audio recording of trips, which can serve as evidence in dispute resolution,’ Fairwork said.
However, for the two-wheel platforms, the study noted that it could not find any evidence that companies give free protective gear or hazard pay, even as riders face harsher weather and traffic conditions.
Lack of protection, representation
Fairwork also noted the absence of social safety nets for illness or sudden income loss.
While some companies have started facilitating access to government social protection programs like Social Security System and PhilHealth, these efforts remain limited.
‘None of the nine platforms could evidence that all provisions of the sub-principle are met.Critical social protections.should be incorporated as baseline entitlements of workers rather than optional perks. The failure to address these not only undermines the dignity of platform work but also deepens systemic inequalities in an already climate-vulnerable country.’ the study said.
Under fair contracts, five platforms have readable and accessible terms, but none could show contracts free from clauses that exempt them from liability.
‘Under ‘independent contractor’ classifications, workers carry a disproportionate amount of risk for engaging in a contract with the service user. They may be liable for any damage arising in the course of their work, and they may be prevented by unfair clauses from seeking legal redress for grievances,’ Fairwork noted.
Meanwhile, only GrabCar and GrabFood/Express met minimum standards for fair management, offering human support channels and appeals for account deactivation.
Still, the researchers found ‘no documented policy from any platform that assures freedom of association and collective worker voice.’
DOLE eyes possible interventions
MEANWHILE, Department of Labor and Employment (DOLE) Secretary Bienvenido E. Laguesma said the agency-particularly its Occupational Safety and Health Center-will conduct a study on how to provide assistance to platform workers.
He acknowledged that the gig economy has introduced new employment setups that existing regulations may not fully address.
‘There are many emerging new arrangements.in general you can apply the existing ones but they have uniqueness or peculiarity. You can’t do one size fits all,’ he told reporters in an ambush interview on Monday.
Laguesma said the government continues to review existing labor policies to ensure they remain relevant.
‘The President always reminds us to keep looking at what changes, what we should do,’ Laguesma also said. ‘I hope we are not just reactive, like firefighters that only act when there is a problem. We must anticipate.’