29 May, 2018
Upcoming changes likely for the gig economy in Singapore
Earlier this year, the Tripartite Partners (the Ministry of Manpower, the National Trades Union Congress and the Singapore National Employers Federation) held a Public Consultation on Self-Employed Persons' Top Concerns in the Future Economy, and recently released their recommendations on self-employed persons, which have been accepted by the Government in principle.
Based on these recommendations, the likely changes on the horizon include:
- Development of a Tripartite Standard on key terms to be included in written contracts between businesses and Self-Employed Persons ("SEPs");
- More dispute resolution options for SEPs, through sector agencies and voluntary mediation through the Tripartite Alliance for Dispute Management;
- A new insurance product to cover prolonged illness or injury for SEPs;
- New contribute-as-you-earn model for SEPs to make Central Provident Fund (CPF) savings as and when service fees are earned; and
- Development of occupation-specific competency frameworks to help SEPs keep their skills current and enhance professionalism.
These changes are targeted at providing protection for SEPs in Singapore.
While the full extent and details of these changes have not been completely released, companies engaging SEPs on a regular or long-term basis, or which rely on SEPs as the main source of labour should be ready to review and update their practices to ensure that they are aligned with the upcoming changes.
For further information, please contact:
Goh Seow Hui, Partner, Bird & Bird
seowhui.goh@twobirds.com
