Digital labour platform has presented opportunities, challenges for workers and businesses-ILO

International Labour Organisation (ILO), has said that the growth of digital labour platforms has brought the need for international policy dialogue.
This was contained in the ILO’s latest World Employment and Social Outlook 2021 report.
The report said that the growth of digital labour platforms has presented opportunities and challenges for workers and businesses.
According to the report, digital labour platforms which have increased five-fold worldwide in the last decade has underlined the need for international policy dialogue and regulatory cooperation to provide decent work opportunities and foster the growth of sustainable businesses more consistently.
The report said that digital labour platforms have provided new work opportunities, including for women, persons with disabilities, young people and those marginalized in traditional labour markets.
Platforms also allow businesses to access a large flexible workforce with varied skills while expanding their customer base.
The report focuses on two main types of digital labour platform: online web-based platforms, where tasks are performed online and remotely by workers, and location-based platforms, where tasks are performed at a specified physical location by individuals, such as taxi drivers and delivery workers.
On his part, the ILO Director-General, Guy Ryder, said that the new opportunities created by digital labour platforms are further blurring the previously clear distinction between employees and the self-employed.
He said that the working conditions are largely regulated by the platforms’ terms of service agreements, which are often unilaterally determined, adding that algorithms are increasingly replacing humans in allocating and evaluating work, and administering and monitoring workers.
“With platforms operating across multiple jurisdictions, coherent and coordinated policies are needed to ensure they provide decent work opportunities and foster the growth of sustainable businesses.
“Digital labour platforms are opening up opportunities that did not exist before, particularly for women, young people, persons with disabilities and marginalized groups in all parts of the world. That must be welcomed. The new challenges they present can be met through global social dialogue so that workers, employers and governments can fully and equally benefit from these advances. All workers, regardless of employment status, need to be able to exercise their fundamental rights at work,” said Ryder.
The challenges for platform workers according to the report relates to working conditions, the regularity of work and income, and the lack of access to social protection, freedom of association and collective bargaining rights.
“Working hours can often be long and unpredictable. Half of the online platform workers earn less than US$2 per hour.
In addition, some platforms have significant gender pay gaps. The COVID-19 pandemic has further exposed many of these issues.
“Many businesses face challenges relating to unfair competition, non-transparency concerning data and pricing, and high commission fees. Small and Medium Enterprises (SME’s) also have difficulties accessing finance and digital infrastructure.
“All workers, regardless of employment status, need to be able to exercise their fundamental rights at work,” says the report.