THE Government has taken a significant step to safeguard its gig economy workforce, with the Dewan Rakyat confirming that platform providers are now legally obligated to deduct Social Security Organisation (Perkeso) contributions automatically from workers’ earnings under the new Gig Workers Bill.
The legislation seeks to ensure that gig workers, long regarded as part of the informal sector, enjoy social protection comparable to that of traditional employees.
Human Resources Minister Steven Sim Chee Keong today emphasised that the Bill imposes a dual responsibility on platform operators: submitting comprehensive gig worker data to Perkeso and integrating automatic contribution deductions into their digital systems.
“This approval demonstrates that gig workers are no longer overlooked, but are recognised as an important workforce in the country's new economy.
“The Bill imposes an obligation on platform providers to submit gig worker information to Perkeso and make automatic contribution deductions from earnings via their digital intermediary systems, allowing integration of Perkeso contributions,” he said in a written reply to the parliament.
Sim added that the automated system will allow Perkeso to collect contributions more efficiently and transparently, without placing undue administrative burdens on platform operators.
“These measures ensure that workers are not burdened with managing contributions themselves, platform providers are not encumbered by additional processes, and Perkeso can collect contributions more transparently and efficiently,” he said.
Perkeso records indicate that as of 19 September, nearly 300,000 gig workers are actively contributing under the Lindung Kendiri self-employed protection scheme.
The minister noted that enforcement powers under the Self-Employment Social Security Act 2017 (Act 789) enable Perkeso to conduct inspections and ensure platform providers adhere fully to the law.
To support the nationwide rollout, the Human Resources Ministry has engaged extensively with both gig workers and agencies, conducting 7,208 outreach sessions.
“These include ongoing programmes to raise awareness, such as the Program Sembang Teh Tarik involving 1,000 gig workers, the Penang Rider Jalan Teruih programme with 1,000 riders, and the Meet & Greet session on 11 October in Kangar, Perlis, which saw participation from 10,000 riders, including gig workers,” Sim said.
A Smart Detection system has been established in collaboration with relevant agencies to monitor platform providers who have yet to comply with registration and contribution obligations.
This move aims to modernise compliance mechanisms while protecting workers’ rights in the rapidly expanding digital economy.
The Gig Workers Bill marks a landmark policy shift in Malaysia, recognising the contributions of gig workers to the national economy and ensuring that social protection extends to all forms of employment in the modern workforce. - November 19, 2025
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