Advancing Flexible and Tailored Solutions for Grab Partners’ Evolving Needs
Grab Philippines has launched a pioneering pilot program in Cebu to provide subsidized Pag-IBIG Fund contributions for drivers and delivery-partners. This initiative marks a significant step in Grab’s commitment to redesigning social protection systems to better address the unique, real-time needs of gig economy workers.
The program, part of Grab’s Ka-Grab Rewards+ (KGR+), provides eligible Gold and Platinum-tier drivers and delivery-partners with monthly Pag-IBIG contributions, subsidized by Grab. These contributions aim to help gig workers save for long-term needs, access housing loans, and secure their financial futures, reflecting Grab’s broader mission to align social protection with the flexible and dynamic nature of gig work.
The pilot is being conducted in Metro Cebu, chosen for its dynamic economy and strategic importance within the country. By focusing on Metro Cebu, Grab aims to identify operational challenges and refine the program before exploring a broader rollout.
“This initiative underscores our commitment to ensuring that drivers and delivery-partners are supported not just in their daily work but also in building long-term financial security,” said Grab Philippines Country Head Ronald Roda. “By piloting this program, we aim to develop a more flexible and inclusive approach to social protection that aligns with the evolving needs of our partners and the realities of their work.”
Addressing the Gaps in Traditional Social Protection Systems
Studies by the International Labour Organization and the Asia Development Bank highlight significant gaps in traditional social protection schemes for platform workers. Many of them prefer flexible, modular systems that align with their irregular work patterns and income fluctuations. This pilot program represents Grab’s proactive response to these insights by introducing a contributory system that is accessible, adaptable, and designed to scale.
Key features of the program include:
● Eligibility: Open to Gold and Platinum-tier drivers and delivery-partners based on performance.
● Real-Time Benefits: Pag-IBIG contributions to support savings and access to housing programs.
● Flexibility: Contributions are subsidized during the pilot to minimize financial strain on workers.
Grab, in partnership with Pag-IBIG, will also offer education sessions to ensure participants understand the benefits and process, reinforcing the program’s long-term impact.
A Framework for Tailored Social Protection
The Cebu pilot is part of Grab’s broader strategy to introduce flexible, income-linked contributions and modular benefit options for Grab partners. These systems allow workers to choose benefits that suit their specific needs, such as health insurance, micro-savings for retirement, and income-loss protection, with contributions adjusted based on their earnings.
While the pilot is limited to Cebu, Grab envisions expanding the program to other regions in the Philippines. The ultimate goal is to create a comprehensive social protection framework for gig workers that incorporates dynamic, real-time contributions and benefits, supported by collaborative efforts between Grab and policymakers.
“Grab partners are essential to the economic engine of the Philippines,” added Roda. “As a nation-building partner, Grab is committed to advocating for innovative, scalable solutions that address the unique challenges of the gig economy and provide long-term benefits for workers and their families,” said Roda.
