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Digital platforms advertise a simple promise to workers – flexible self employment: work when you want, choose the work or tasks you want to do, be your own boss. This promise draws millions of workers to join the platform economy. Conversations with workers within this sector, however, reveal a very different story -
The study included workers engaged by 9 platforms in the food delivery sector, 12 in the ridesharing sector, and 9 in the home service sectors.
Across countries, all platforms engage workers as partners. This status, distinct from an employee status, excludes platform workers from labour protections. While platforms describe this relationship as a partnership or self-employment structure, platforms in fact exercise significant control over worker wages, hours and working conditions, mirroring the dynamics and structure of an employer-employee relationship. The figure below shows how platforms in this study exercise control over workers in relationship to assigning work targets, allocating work based on ratings, mediating payments, managing workers through team leads or other touch points and de-incentivising cancellation of gigs by workers.
The chart is representative of only the platforms included in our research.
I registered through the application, and I submitted all the required documents, such as my ID card, driver’s license, vehicle registration, police clearance letter, and a copy of my bank account on the app. After I submitted the registration form, I was not immediately contacted by the platform staff. If I’m not mistaken, I waited almost a month before hearing back from the platform. I was informed that my registration was accepted through a WhatsApp call.”
Yogyakarta, Indonesia
I applied at the main office of the platform in Manila. The documents I submitted there were xerox copies of my ID, ORCR, Medical, SSS, Drug test and NBI. When I submitted my documents, I had to wait for 1 month before I could start driving because I was waiting for the platform’s approval in order for me to start driving as a driver.”
Manila, The Philippines
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Agreed upon terms, if there is no written contract
Type of contract
When I first went to the platform, I learned about one of their benefits: initially, we would have to pay 25%. Within that, they would give us a trip target. If we could meet that target, the commission would decrease. According to the target, it would be 5% in some cases, 10% in others, and in some cases, if the target was met, no commission was required at all. The commission would decrease if we met the target. The target system was in place for quite some time, about two years, but since the pandemic, from 2021 onwards, they have no longer been offering it. They are now taking a full 25%. There are no targets anymore, no bonuses, no benefits. Now, if anyone wants to drive for the platform, he/she has to do it by paying a 25% commission.”
Dhaka, Bangladesh
If we cancel a customer's ride and the customer complains, the company will suspend our application. And when they suspended it, we called the company. At first they don't even pick up the call. Even if they pick, they ask you to come to the office. And when you go to the office, they show on the computer about ride cancellation. Because I cancelled the request, I got suspended for some days. If I want to work on the application and ask for it to be opened, then we will have to pay a fine.”
Kathmandu, Nepal
If you have a low rating, there are times you will not be given any passengers, or you are not a priority. But if you have a high rating, the bookings just keep on coming.”
Metro Manila, The Philippines
Ratings have a big impact. When I receive high ratings, like five stars, then I can get orders smoothly without having to wait too long. But if I get a low rating, it becomes harder for me to receive orders.”
Yogyakarta, Indonesia