However, these moves apply only to those who are subject to control by platform companies over the jobs they receive and accept, as well as fees for their services.
TODAY spoke to experts to find out why this may be so and whether such companies should also be covered by the new recommendations.According to transport analyst Terence Fan from the Singapore Management University , there is no clear answer. This is so that they can also reap the benefits of the recommendations, especially CPF contributions, which taxi drivers are not currently entitled to.
It would also be economically inefficient as it encourages regulatory arbitrage, which is the practice of companies looking for loopholes in regulation to compete based on regulatory differences rather than economic competitiveness. “The nature of control is different. But it is not inconceivable that the two models can compete to cover the same space,” he said.Following the recommendations, Grab in a statement on Wednesday called for the inclusion of street-hail taxi platforms and third-party logistics companies in order to even the playing field.
“This could happen through the drivers deliberately ignoring ride hail in favour of streethail, or through platforms degrading the less preferred service,” he said.