Policy is needed to address income instability and the lack of social safety nets among gig workers. While gig workers appreciate flexibility and autonomy, their rights must be protected while allowing businesses to meet market demands without hindering innovation.
This concern was central in one of the studies presented during the knowledge-sharing forum of the Socioeconomic Research Portal for the Philippines (SERP-P), an initiative of the Philippine Institute for Development Studies (PIDS). The study titled “Evolving A Governance Framework For Workers In The Gig Economy”, was presented by Division Chief Miraluna Tacadao of the Department of Labor and Employment-Institute for Labor Studies. It examined the institutional challenges within the gig economy and proposed policy recommendations to address these issues.
“We have laws that protect the interests of traditional employees, but not comprehensively address the unique needs and vulnerabilities of our gig workers,” Tacadao pointed out. For instance, dispute resolution mechanisms are typically available only for those with employer-employee relationships, leaving gig workers without recourse. Furthermore, gig workers must independently cover their social security costs, adding another layer of insecurity. Tacadao also highlighted the lack of reliable government data on the gig economy, which complicates efforts to understand and regulate this growing sector.
Through key informant interviews, Tacadao and her co-authors examined the gig economy from the perspectives of various stakeholders. Several ideas were discussed to clarify gig workers’ rights and obligations, including the creation of a model contract to simplify dispute enforcement, and the establishment of a “code of practice” for self-regulation. However, concerns about creating a distinct class of workers were raised, with a call for the collection of accurate data on the gig workforce to inform policy decisions.
The interview results also emphasized the need to review the Labor Code and implement mandatory conciliation and arbitration processes. Regarding social protection, the concept of “portable benefits” was introduced to ensure that gig workers can retain benefits across multiple clients. This is in line with the broader goal of extending fair labor market regulations to all workers.
Based on their findings, Tacadao and her co-authors proposed the creation of comprehensive frameworks that balance innovation with the protection of workers’ rights in the gig economy. They also suggested establishing a tripartite advisory council, comprising government agencies and labor groups, to guide policy development.
To support future workers, they proposed raising awareness about the benefits and challenges of gig work through educational modules and labor programs. They also stressed the need for reliable data, continuous skills development, and a gender-sensitive approach to fully understand the gig economy’s scope and ensure equitable opportunities for all workers.
“We know that the passing of new legislation would entail time, but there are low-hanging fruits which can offer positive opportunities for parties involved in the gig economy,” Tacadao noted.
Those in authority must consider the evolving landscape of the gig economy and revisit and modernize labor rules and regulations, while actively safeguarding the needs and interests of today’s flexible, on-demand workforce.
Watch the recording of the knowledge-sharing forum at https://bit.ly/pidslive102824.###
