25/08/2025

MONDAY | AUG 25, 2025

3 ‘Clarity vital for success of landmark Gig Workers Bill’

Riders share struggles without safeguards

Bill to address procurement process breaches KUALA LUMPUR: The Procurement Bill, set to be tabled in Parliament next week, will provide for legal action against any party that fails to comply with procurement procedures. Defence Minister Datuk Seri Mohamed Khaled Nordin said the new provision will grant the government the authority to impose penalties on breaches of the procurement process. “Under this Bill, any party that violates procurement rules or tender procedures will be committing an offence under the law and may face legal consequences,” he told reporters after a community meet and-greet event with the Chinese community yesterday. He said the bill applies not only to the Defence Ministry but to all ministries and government agencies to ensure procurement processes are conducted transparently and with accountability. – Bernama Insurance System, which are fixed expenses similar to salaries. This will raise costs for businesses, drive up prices for consumers and may limit competition.” He warned that smaller or newer operators could be squeezed out, leaving the industry dominated by a few large players. “This would create an oligopoly market, reducing consumer choice and stifling innovation.” Idham also highlighted the complexity of handling workers engaged with multiple platforms. “A centralised system could help pool contributions, with rates pegged to income and fairly split across platforms.” He cautioned against pushing the Bill through before the proposed Malaysia Gig Economy Commission is established. “Without a designated institution to provide guidance and interpretations, businesses will face uncertainty. Even if the law includes an annual review, sudden changes could result in cost overruns and business disruptions.” Idham recommended phasing in the Bill to give platforms and workers time to adapt. “Instead of hourly wages, a minimum earning per task could be considered. Most importantly, the Gig Economy Commission should be legally established with proper funding to support implementation.” As the Bill moves forward, both experts agree that its success will depend on clarity of definitions, fair contribution mechanisms and gradual enforcement. Without these, they warn Malaysia risks undermining the very workers it is seeking to protect while constraining the industry’s growth.

ensure gig workers are not left out of employment protections. If they are recognised as employees, they will at least receive basic safeguards such as minimum wage.” He also called for a comprehensive framework covering working hours, flexible schedules, performance appraisal, overtime and statutory contributions. “EPF and Socso are critical. If workers are classified as contractors, they will have to contribute on their own. But if they fall under the Employment Act, both employers and employees share the obligation. Short-term higher earnings should not compromise long-term protection such as retirement savings.” From an economic standpoint, Universiti Teknologi Mara senior lecturer in economics Dr Mohamad Idham Md Razak said the Bill could impose significant costs on platforms. “They would have to contribute to EPF, Socso and the Employment

o Experts warn vague definitions and rushed rollout could hurt rights of group and stifle industry growth

Ű BY HARITH KAMAL newsdesk@thesundaily.com

PETALING JAYA: For many gig workers in Malaysia, the promise of flexibility comes with financial uncertainty and little protection. Mohamad Afiq Mohd Azmi, 25, from Seremban, Negeri Sembilan, used to work full-time as a delivery rider after completing his studies, but switched to part-time due to unstable earnings. “Every month, fuel, motorcycle maintenance and platform commissions eat into what we make. Payments are unpredictable, sometimes instant, other times delayed by several days. It’s hard to manage money when income is irregular and without EPF we have to contribute on our own.” Afiq added that while he saves where possible, gig workers lack the social protection full-time workers enjoy. “Authorities encourage contributions to i-Saraan (EPF’s voluntary retirement savings scheme), but not everyone can set aside money when daily earnings are uncertain. “I think the Gig Workers Bill is important, but I hope it ensures EPF and Socso contributions are fair and workable. It shouldn’t increase our costs or cut our incentives. Yes, we want security, but we also need to survive day to day.” Another rider, who wished to be known only as Amir, shares similar concerns, especially on insurance and safety. “I’ve been working long hours, exposed daily to accidents and risks, but we don’t get the same insurance coverage or medical benefits as permanent workers. If something happens, it’s usually our own problem. The platforms do offer coverage, but it’s very basic and doesn’t always include hospitalisation or long-term recovery.” Amir also stressed that fairness is crucial. “Gig workers are the ones driving the digital economy, yet we are treated as dispensable. During peak seasons like Ramadan or when bad weather hits, orders increase, but so do our risks. If we get into accidents, our income stops immediately. “The government should ensure gig workers get proper insurance and social protection, not just optional schemes many riders can’t afford. Plus, it should be fair to both sides. Platforms shouldn’t simply pass all the extras to us or the consumers. The Bill must be balanced.”

Ű BY HARITH KAMAL newsdesk@thesundaily.com

from the contract of employment, they risk being denied recognition as employees.” “Once they are considered employees, they fall under the Employment Act 1955, which was fully amended in the last two years. That would entitle them to protections, including the minimum wage order and other rights under labour law,” he told theSun yesterday. Balakrishnan said legal clarity was essential to prevent discrimination. “Without recognition, gig workers could face inequality in salary, job security and career development. “Delivery platforms are the major players and internationally, countries and the International Labour Organisation are working to

PETALING JAYA: Malaysia’s first ever Gig Workers Bill, to be tabled in Parliament today, is seen as a landmark move to regulate the sector – but experts warn that without clear definitions and phased implementation, the law could end up hurting both workers and businesses. Universiti Malaysia Kelantan human resource and industrial relations expert Prof Dr Balakrishnan Parasuraman said the first priority is to establish a legal definition of gig workers. “The definition must be very clear. If gig workers are excluded

PROUDLY MALAYSIAN ... Retiree Salleh or Wak Leh, 81, adds patriotic flair to his bicycle with Jalur Gemilang , reflecting this year’s ‘Malaysia Madani: Rakyat Disantuni’ National Day theme that calls for unity and inclusivity. – ADAM AMIR HAMZAH/THESUN

Minister slams TikTok over hiring of former Israeli soldier KUALA LUMPUR: Communications Minister Datuk Fahmi Fadzil has lambasted the decision by social media platform TikTok to appoint a former Israeli Defence Forces soldier as its hate content manager in New York. very much a PR line, saying that the appointment had nothing to do with the issue of Palestine. appointee at a time when the company is laying off many employees, including in Malaysia, due to its transition towards artificial intelligence.

only be made after next month’s meeting. “Any action must be rational because we know TikTok is also a business platform and a source of livelihood for many Malaysians, including small traders and content creators. Our approach must be balanced, protecting the interests of local users while at the same time ensuring it is not tainted by elements contrary to Malaysia’s principles,” he said, adding that Malaysia remains consistent in supporting unconditional freedom for Palestine. – Bernama

“They may say it is separate, but I don’t see it that way. I am concerned that it opens the door for pro-Zionist content to influence TikTok’s algorithms for Malaysian users,” he said after officiating the Gaza Humanitarian Virtual Reality Innovation Exhibition held in conjunction with the Sumud Nusantara Carnival at Dataran Merdeka yesterday. Fahmi also questioned TikTok’s decision to pay a high salary to the

Following this, he said a meeting would be held with TikTok’s representatives in Malaysia together with the police and the Attorney General’s Chambers early next month to obtain further clarification from the social media platform. He also did not rule out that stern action could be taken against the platform, which is licensed in Malaysia, but said any decision would

He said the move was insensitive and lacked integrity on the part of the platform, raising concerns about the use of algorithms to control the type of content for users in Malaysia. “After learning of the appointment, I immediately lodged an initial protest by contacting TikTok’s CEO directly. However, the response I received was