Cabinet puts gig workers bill on hold for further review: Fahmi

Government looks into industry players' call for refinement to ensure sustainability, fair protections

5:30 PM MYT

 

KUALA LUMPUR – The much-anticipated Gig Workers Bill has been put on hold after the Cabinet decided to defer its adoption for further deliberation.

Communications Minister Fahmi Fadzil said the proposed legislation was discussed during today’s Cabinet meeting, where various viewpoints were considered.

“The (Gig Workers) Bill was discussed in the Cabinet meeting today, and we have taken note of the views from various stakeholders. The Prime Minister has directed the Human Resources Minister to examine the feedback before resubmitting the draft Bill to the Cabinet,” he said in a press conference following the meeting.

Fahmi expressed hope that the engagement process and issue assessment would be completed soon, allowing the Bill to be tabled in Parliament this year.

Further refinements needed to balance worker protection and industry growth

While the Government is committed to advancing the Bill for the welfare of gig workers, it acknowledges the need for further refinements to ensure the legislation also supports the industry’s sustainability.

“It should be able to facilitate the development of the industry which organic evolution is very rapid,” a senior government source told Scoop.

The draft Bill, spearheaded by Human Resources Minister Steven Sim, has been the subject of public engagement sessions, including a recent town hall with gig workers. However, ministers raised concerns about several key areas, including the financial implications for both workers and businesses, the feasibility of establishing a dedicated tribunal, and potential overlaps with the proposed Gig Economy Workers Commission (SEGIM).

According to sources, there were also apprehensions about the Bill’s broader impact on service costs and long-term industry sustainability.

The Cabinet has requested further revisions to address these concerns before reconsidering its tabling in Parliament.

Scoop has reached out to Sim for comment on the matter.

Industry stakeholders provide feedback

Yesterday, a coalition of major gig economy platforms—including Bolt, FastGig, foodpanda, GoGet, Grab, Halo Delivery, Kiddocare, Lalamove, and ShopeeFood—has acknowledged the Government’s efforts in shaping policies for the digital and gig economy. They emphasised the importance of refining key provisions to ensure their effectiveness and long-term viability.

In a statement following a town hall meeting on February 19, the coalition highlighted two primary concerns: the role of the Consultative Council and social protection contributions.

They stressed that industry-wide minimum standards, particularly regarding fares and compensation, should allow for flexibility to maintain competition and sustain worker earnings. Additionally, they called for greater clarity on social protection contributions, particularly for gig workers operating across multiple platforms, to prevent undue financial strain.

A collaborative approach

The Bill has also sparked discussions on SEGIM, an initiative championed by Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi. While some stakeholders worry about potential regulatory overlaps, others view SEGIM as an opportunity to enhance gig worker representation.

To address industry concerns, stakeholders have proposed conducting an impact study and piloting key provisions in a regulatory sandbox. This approach would allow the Bill to be refined before full implementation, ensuring its practicality and sustainability.

“With over a million gig workers in Malaysia, we are committed to working alongside the Government to shape a Bill that benefits all,” the coalition said. – February 28, 2025


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