Taiwan releases three sub-laws for gig worker protection act, effective July 21

Taiwan's Ministry of Labor has officially released three key sub-laws that will govern the "Gig Worker Rights Protection and Platform Management Act," set to take effect on July 21. These regulations are designed to bolster the rights and protections of gig economy workers across the island, addressing concerns about unfair practices by delivery platforms.

A central focus of the new legislation is the "Enforcement Rules for the Gig Worker Rights Protection and Platform Management Act." This rule clarifies essential aspects such as basic remuneration guarantees, transparency in order dispatch, grounds for contract termination, grievance procedures, insurance coverage, and the reporting of occupational accidents. It establishes clear operational procedures and standards to guide the implementation of the main act.

The "Economic Compensation Measures for Gig Workers Terminating Service Contracts" provides a crucial safety net. It stipulates that gig workers can proactively terminate their service contracts if a platform engages in illegal or breaching activities that harm their rights. In such cases, platforms are obligated to provide economic compensation. This compensation is calculated based on the worker's years of service and average earnings, with a provision of half a month's average earnings for each full year of service, capped at six months' average earnings for service less than a year.

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For the protection of gig worker rights, it is stipulated that if a platform's illegal or breaching conduct harms the rights and interests of gig workers, gig workers may actively terminate the gig service contract according to law, and the gig platform operator shall provide economic compensation to the gig worker.

Furthermore, the "Standardized Contract Requirements and Prohibitions for Gig Services" explicitly forbids platforms from unilaterally altering contracts, transferring operating costs to workers, arbitrarily deducting wages, withholding tips, forcing workers online, or restricting their ability to work with other platforms. If a gig worker cannot complete a delivery due to reasons beyond their control, such as a customer being unreachable or an order cancellation, they are still guaranteed a minimum hourly wage of 1.25 times the statutory minimum wage based on their actual working time.

Platforms will also face stricter requirements when imposing disciplinary actions like suspension or contract termination. They must provide specific reasons, investigation details, supporting evidence, and clear channels for appeal. The grounds for suspension and termination must adhere to principles of clarity, culpability, fairness, and proportionality. Importantly, any existing service years of gig workers must be carried over if contracts are re-signed due to the new law or other reasons like mergers, ensuring their rights are not diminished.

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Platforms are prohibited from unilaterally changing contracts, transferring operating costs to gig workers, arbitrarily deducting wages, withholding gig worker tips, forcing gig workers to be online, or restricting gig workers from cooperating with other gig platform operators.