KUALA LUMPUR: The government has been urged to expedite the setting up of the Malaysian Gig Economy Commission (SEGiM) to ensure better regulation of the gig industry.

Malaysian Gig Community Secretariat chairman Datuk Seri Mohd Sharkar Shamsudin expressed hope that the initiative would be announced during the tabling of Budget 2025 by Prime Minister Datuk Seri Anwar Ibrahim on Oct 18.

He said the initiative was crucial for securing the future of workers in the gig economy, including ehailing drivers, p-hailing dispatchers, and freelancers.

“There are weaknesses in the current laws, particularly regarding enforcement, safety guarantees, welfare, income and the future of these gig workers.

“For example, in the ehailing sector, how can the government help drivers who are struggling with the sudden rise in ehailing insurance premiums, which has affected their job costs?” he told Bernama.

Mohd Sharkar said the setting up of the commission would empower the government to tackle the oversaturation of ehailing and p-hailing service providers, which has led to unhealthy competition and negatively affected the incomes of ehailing drivers and p-hailing dispatchers.

In addition, he suggested that the government review and improve the i-Saraan scheme under the Employees Provident Fund (EPF) to safeguard the livelihoods of gig workers, especially as they approach retirement.

“The government could broaden access to a comprehensive social protection scheme, allowing for voluntary or mandatory contributions to the EPF and the Social Security Organisation (Socso).

“This would help establish long-term financial security, including benefits such as accident insurance, medical insurance and disability support,” he said.

Mohd Sharkar also called on the government to introduce more financial initiatives and tax incentives for gig workers, such as targeted assistance to improve access to vehicle financing, skills training and capital to start or expand small businesses.

“It is also essential that Budget 2025 considers introducing more flexible regulations that protect workers’ rights while ensuring that employers in the gig economy are held accountable for providing basic benefits to their workers,” he added.

Malaysian P-Hailing Riders’ Association (Penghantar) vice-president Abdul Hakim Abdul Rani proposed that the Socso’s Self-Employment Social Security Scheme for 2024 be retained in the upcoming budget.

He also urged the government to enhance and expand upskilling and reskilling programmes for gig workers to help them secure better employment opportunities.

https://www.thestar.com.my/news/nation/2024/10/04/speed-up-gig-industry-commission-urge-stakeholders