Online-Based Transportation Industry Becomes A Piles Of Workers Amid The High Number Of Layoffs

Illustration. (Photo: Doc. Antara)

JAKARTA - The digital platform-based transportation industry aka ride-hailing is the focus of workers amidst the high number of layoffs (PHK) and limited formal employment opportunities.

Segara Research Institute Executive Director Pieter Abdullah said that when a person does not get a formal job, the first option is not to become a laborer, handyman, or other non-formal job such as a personal driver but to enter the ride-hailing platform.

"Work as an online motorcycle taxi driver offers several advantages, namely flexibility, ease of entry, and providing sufficient income. They can also do other things," Pieter said, in his statement in Jakarta, quoted from Antara, Monday, October 21.

Based on the results of a survey conducted by the Segara Research Institute in Jabodetabek, Yogyakarta and Makassar, informal work has a relatively low entry barrier with minimal work requirements, apart from no educational requirements, nor does there be aggravating capital.

Therefore, he continued, informal work is the main choice when workers in the formal sector have to stop working, either because they are dismissed (PHK) or because they resigned voluntarily for various reasons.

Compared to other informal jobs, according to him, there are various advantages offered by work as ojol drivers. Although both have flexible characteristics, ojol drivers are not bound to strict working hours and even they can determine their own working days or the number of working hours.

Pieter added that informal work on ride-hailing platforms also offers advantages in terms of facilities. Informal workers generally do not get job safety guarantees or health insurance.

However, more than 50 percent of ojol driver respondents stated that they received facility assistance to get job safety guarantees and around 40 percent stated that there was assistance from employers to get health insurance.

"Although the costs are borne by themselves, they are facilitated by digital platform providers to get job safety guarantees. This is different from other informal workers who firmly state that they do not get job safety guarantees and health insurance," Pieter said.

In addition, another advantage of ojol driver's work is higher income than the income earned by other informal workers.

"Driver ojol is an independent worker. They are not an employee of the platform, but are facilitated by digital platforms. In terms of flexibility, workloads, health insurance, health insurance, and income levels, they are relatively the best among all informal work," said Pieter.

According to him, everyone wants formal work but out of 3 million-4 million new workforces every year, around 1 million people. who can enter formal work, while as many as 2 million-3 million more people are forced to enter informal work.

This, he continued, was because the government was unable to provide jobs by encouraging sufficient economic growth.

"Therefore, the government's task is not to formalize informal work because informal work is temporary shelter. The government should focus on increasing our economic absorption to provide formal work to our workforce," he said.