KUALA LUMPUR – The proposed tabling of the Gig Worker Bill should be postponed due to the lack of consultation with both industry stakeholders and gig workers, said key players in Malaysia’s gig economy.
In a joint statement released by Foodpanda, GoGet, Grab, Halo Delivery, Kiddocare, and Lalamove, the platforms expressed concern that the draft amendments have not been shared in full, and the feedback process has been limited.
The platforms urged the Government to delay the Bill’s tabling in December, emphasising the need for a more inclusive approach. They believe that more time should be allocated for comprehensive consultations with all relevant parties, ensuring the final framework reflects the diverse needs of gig workers.
“As key stakeholders in Malaysia’s gig economy, we acknowledge the Government’s efforts in proposing a Gig Worker Bill. However, we are concerned that neither industry players nor gig workers were fully consulted, with no full draft of the proposed amendments shared, and the feedback process had been limited.”
“To ensure a balanced and well-informed framework, we respectfully request a postponement of the Bill’s tabling in December, believing that a collaborative approach and an extended timeline will benefit the success of this initiative.”
The platforms also outlined several recommendations to help create a more sustainable gig economy. One of the key proposals was a more thorough engagement with a broader range of stakeholders, including gig workers, platform companies, academics, and industry experts. They argued that a phased, inclusive approach would help avoid unintended consequences, such as policy implementation inefficiencies and increased costs for consumers.
The platforms also called for the draft Bill to be shared for review, which would allow industry stakeholders to provide input before it is finalised. Experience from other jurisdictions has shown that a phased consultation process is crucial to developing effective, balanced regulations that benefit all parts of the gig economy, they said.
Another point of contention was the current definition of gig workers. The platforms suggested broadening this definition to include workers across all relevant sectors, rather than just limiting it to e-hailing and p-hailing services.
“We recommend broadening the definition of gig workers beyond e-hailing and p-hailing to include all relevant sectors, similar to PERKESO’s Self-Employment Social Security Act, which covers 20 sectors. By defining gig workers as a distinct category from traditional employees allows for regulations that are tailored to the unique nature of gig work.”
The platforms also advocated for a market-driven approach to compensation, which would allow workers to move freely across jobs and industries based on demand and payment. This, they argued, would maintain fair earnings for workers while keeping services accessible for consumers.
“We advocate for a market-driven approach to compensation, allowing labour to move freely across jobs and industries based on demand and willingness to pay.”
“This approach helps maintain a balance, avoiding potential challenges, such as higher consumer prices, reduced demand, and lower earnings for gig workers. It ensures fair earnings while keeping services accessible and sustainable.”
In addition, the platforms expressed support for voluntary enrolment in social protection schemes, which could be facilitated by the platforms through awareness campaigns and streamlined processes which allow gig workers the autonomy to manage their own contributions, and help them maintain their flexibility.
The statement also called for ongoing, open dialogue with gig workers and their representatives.
The platforms reiterated their commitment to working closely with the Government to co-create a regulatory framework that protects gig workers while promoting the growth of Malaysia’s digital economy.
“We are committed to partnering with the Government to co-create effective and balanced regulations that protect gig workers and drive growth in Malaysia’s digital economy.”
“Together, we can establish a framework that protects gig workers and positions Malaysia as a leader in the digital economy, driving innovation and inclusive growth for years to come,” they said.
On November 14, the P-hailing riders’ association, Persatuan Penghantar P-Hailing Malaysia (Penghantar), also joined the call for a delay. While expressing gratitude towards the Human Resources Ministry (Kesuma) for drafting the Bill, the association stressed the need for full details and clarification on its implementation before the Bill is presented in Parliament.
Human Resources Minister Steven Sim previously announced on November 3 that the bill would align Malaysia’s e-hailing and p-hailing sectors with global standards, similar to those in Singapore, the United States, and Australia.
Expected to be tabled in the final parliamentary sitting of the year, ending on December 12, the bill promises financial and fiduciary protections akin to those provided by the Employment Act for full-time employees.
This includes potential 24-hour social security coverage, as highlighted by Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi, who chairs a special committee on the establishment of a gig economy commission.
Sources previously told Scoop that the bill will cover payment methods, ensure tips belong to workers, allow gig workers to contract with multiple parties, and provide mechanisms for complaint and dispute resolution—currently unavailable to gig workers regarded as independent contractors. – November 21, 2024