PETALING JAYA: Representatives of the gig industry have raised concern over the current draft of the Gig Workers’ Bill, claiming that it may not achieve its intended objectives.
In a joint statement by Bolt, FastGig, FoodPanda, GoGet, Grab, Halo Delivery, Kiddocare, Lalamove, and ShopeeFood, the group raised concerns of the Consultative Council's impact on operations, as well as Social Protection Contributions in the Bill.
"As industry players in the gig economy, we are concerned that the current draft of the Gig Workers’ Bill may not fully achieve its intended objectives for gig workers and the broader industry.
"Before the Bill is presented to Parliament, it is crucial to ensure its provisions are clear, practical and implementable.
"Without a clear, comprehensive implementation framework, there is a significant risk that the Bill could unintentionally disrupt gig work, increase barriers to entry that prevent workers from earning a livelihood, and stall the sector’s growth and innovation," said the statement issued on Thursday (Feb 27).
It added that the concerns are to be addressed for a balanced and effective framework and meets the needs of both gig workers and the industry.
For the Consultative Council's impact on operations, it said while setting minimum industry standards has its merits, a top down approach to fares and compensation in the gig economy could stifle innovation and competition, leading to higher service costs.
"This rigidity may also challenge industry operations, reducing opportunities and income sources for gig workers.
"A flexible, market-driven approach is crucial to sustaining sector growth and ensuring gig workers can continue earning," said the statement.
And for Social Protection Contributions, the statement claimed that the Bill lacks clarity on how contribution requirements will apply to gig workers engaged across multiple platforms.
"If workers drive for a ride-hailing platform in the morning and delivers food for a different platform at night, will they pay separate contributions for both roles?
"This could double their financial burden and deter their participation in the gig economy.
"Likewise, if a worker drives 70% of their time for one platform and 30% for another, how should the platforms contribute equally?
"We believe this approach will have an undue impact on smaller local industry players, reducing competition in the market and ultimately reducing earning opportunities for workers across various demographics," said the statement.
However, the group expressed appreciation for the opportunity to attend the town hall on the Gig Workers’ Bill held on Feb 19.
"We commend the government’s proactive leadership in shaping digital and gig economy policies.
"Our collaboration has been long-standing, including initiatives like voluntary Social Security Organisation (Perkeso) contributions and upskilling programmes, and has now been integrated into the draft legislation.
"As a group, we partner with more than a million gig workers in Malaysia, and stand ready to offer our expertise to ensure the Bill is practical, sustainable, and worker-friendly," it said.
Among proposals from the group were two actionable measures to be executed before the tabling of the Bill.
"For feasibility and impact study, conduct a nationwide study involving direct engagement with platforms and gig workers via questionnaires and integrated data points across various industries.
"We can help facilitate this through our communication channels with the gig workers.
"For regulatory sandboxing of provisions, allow for key provisions to be tested in a controlled environment.
"This process will enable stakeholders to gather valuable feedback, evaluate regulations, collect valuable data, refine solutions, and better understand potential impacts before wider implementation of the Bill.
"By adopting this approach we can ensure the Bill is sustainable and workable for gig workers and industry players," said the statement.
