Singapore's Platform Workers Act, which took effect on January 1, 2025, is the most significant change to gig worker protections in the country's history. If you drive for Grab or Gojek, deliver for foodpanda or Deliveroo, or work through any platform that matches you with customers, this law affects you directly.
This guide explains what changed, how it impacts your earnings, and what you need to do to maximise the benefits.
What the Platform Workers Act Covers
1. CPF Contributions
This is the biggest change. Platforms are now required to make CPF contributions for their workers, similar to how employers contribute for traditional employees. The contribution rates are being phased in gradually:
- 2025-2026: Platform contributes approximately 3.5% of your earnings to CPF
- 2027-2028: Contribution rate increases to approximately 7%
- 2029 onwards: Full employer contribution rate (up to 17% depending on age)
Key point: These contributions are ON TOP of your earnings. Your take-home pay does not decrease. The platform pays the CPF contribution from their revenue, not from your payout.
If you earn $3,000/month from Grab in 2026, the platform contributes approximately $105 to your CPF. By 2029, that could be $510/month. Over a 10-year gig career, this adds up to $50,000+ in retirement savings you would not have had under the old system.
2. Work Injury Compensation
Platform workers are now covered under the Work Injury Compensation Act (WICA). If you are injured while working — whether it is a traffic accident during a delivery, a slip and fall at a pickup point, or any other work-related injury — you are entitled to:
- Medical leave wages (based on your average monthly earnings)
- Medical expenses (up to $45,000 for non-surgical, $90,000 for surgical)
- Lump sum compensation for permanent incapacity
This insurance is paid for by the platform. You do not need to buy your own work injury insurance for platform work anymore (though personal insurance for non-work activities is still recommended).
3. Representation Rights
Platform workers can now be represented by registered associations or unions when dealing with platforms on issues like:
- Earnings disputes
- Account deactivation or suspension
- Changes to payment terms or algorithms
- Safety concerns
The National Trades Union Congress (NTUC) has set up a dedicated unit for platform workers. If you face issues with your platform, you have formal channels for resolution.
Who Is Covered?
The Act covers workers on platforms that:
- Match workers with customers
- Control pricing or payment terms
- Use algorithms to assign work
Covered: Grab (ride-hailing and delivery), Gojek, foodpanda, Deliveroo, Lalamove, TADA
Not covered: Freelancers on Upwork/Fiverr (you set your own prices), Carousell sellers (peer-to-peer marketplace), private tutors (direct client relationships)
How It Affects Your Earnings Strategy
For Younger Workers (Under 55)
CPF contributions are a significant benefit. Your CPF builds up automatically, which means you are saving for housing (OA), healthcare (MA), and retirement (SA/RA) while doing gig work. If you are a full-time gig worker, this partially closes the retirement savings gap that previously existed between gig workers and traditional employees.
For Older Workers (55+)
CPF contribution rates are lower for workers above 55. The benefit is smaller, but the work injury insurance alone is valuable — older workers face higher injury risk and previously had to self-insure.
For Part-Time / Side Hustlers
If gig work is your side hustle alongside a full-time job, your employer already contributes to your CPF. The platform's additional CPF contribution stacks on top. You are building CPF faster than before, which could help you reach your BRS (Basic Retirement Sum) earlier.
What You Need to Do
- Verify your CPF contributions: Log in to the CPF website or app and check that platform contributions are appearing. They should show up monthly.
- Update your profile: Make sure your NRIC and personal details are correct on all platforms. Incorrect details can delay CPF contributions.
- Track your earnings carefully: Platform CPF contributions are based on your reported earnings. Keep records of all payouts to verify accuracy.
- Understand your tax obligations: CPF contributions from platforms are treated as employer contributions — they do not count as your taxable income. Your tax filing should reflect your actual take-home pay, not the CPF-inclusive amount.
Existing platform workers (those who started before January 2025) had the option to opt out of CPF contributions during the transition period. If you opted out, you can opt back in at any time, but you cannot recover the contributions you missed. For most workers, staying in the CPF scheme is strongly recommended — it is free money for your retirement.
Track your gig earnings and expenses with our Expense Tracker, and use our Retirement Calculator to see how CPF contributions from gig work affect your long-term savings.