Expert highlights need for social protection for vulnerable digital workers
The founder of Lingkaran Survei Indonesia (LSI), Denny JA, has emphasised the importance of social protection for the digitally vulnerable class (DVC), as Indonesia potentially develops a new social stratum born from the digital economy. “An online motorcycle taxi driver loses his income just because of one application notification. He is not fired by a human, but is stopped by an algorithm. The state and platform companies need to acknowledge the existence of this DVC group and design a social protection system appropriate to the risks arising from the use of algorithms,” Denny said in a statement in Jakarta on Sunday.
As a comparison, Denny noted that the European Union has established a Platform Work Directive to guarantee the rights of digital workers. He argued that Indonesia needs to adapt similar regulations so that economic flexibility does not sacrifice the protection and welfare of millions of digital workers.
According to him, the world is entering a new phase of capitalism that differs from industrial capitalism in the 19th century and financial capitalism in the 20th century. “If industrial capitalism relied on machines and financial capitalism relied on capital, then algorithmic capitalism relies on data and algorithms,” he said. He explained that in this system, algorithms no longer merely support the production process but also determine a person’s access to work, income, reputation, and economic opportunities.
Denny assessed that millions of online transport drivers, digital couriers, freelancers, content creators, and online sellers now work through digital platforms whose operational rules can change at any time via system updates. “This development has given birth to a new form of vulnerability never known in previous eras. Algorithms now determine the fate of the DVC,” Denny stated.
He identified three main characteristics of the DVC. First, algorithmic vulnerability, a condition where income, visibility, reputation, and job continuity can change due to non-transparent digital system decisions. Second, digital collective identity, where workers connect through applications, social media, and online communities despite working in different locations and never meeting face-to-face. Third, hope precarity, where many digital workers depend their hopes on the possibility of content going viral, rating increases, or algorithm changes that could improve their economic conditions. “The 21st century may be remembered as the century that gave birth to humans living under the shadow of algorithms,” he remarked.
Denny asserted that the greatest challenge of the 21st century is no longer solely about the relationship between labour and capital owners, but also about the relationship between humans and the technological systems they themselves have created.