Bill passed in Malaysia to protect gig workers

Malaysia has passed the Gig Workers Bill 2025, giving legal recognition and protection to freelancers and platform-based workers.

The law introduces minimum service standards, ensures timely payment, and establishes a gig workers' tribunal for dispute resolution.

It also mandates social security contributions under the Malaysian social security organization and extends occupational safety protections, marking a major step toward fairness and accountability in the gig economy.

The role and contribution of gig workers in this country will finally get due recognition with the tabling of the Bill.

Gig-workers, particularly delivery riders, played a vital role during the pandemic lockdowns, and the service has since grown to become an integral part of the economy, said Malaysian Trade Union Congress President Abdul Halim Mansor. However, they have little or no representation.

"Many gig workers came to the Malaysian Trade Union Congress, asking us to represent them, but we were not able to do so because there was no legal provision.

"The proposed law will now widen the scope to include gig workers," he said at a joint news conference in Parliament in August.

Malaysian Bar Industrial and Employment Law Committee Co-chairperson Karthigesan Shanmugam said the Bill will provide a clear legal framework for the gig economy by introducing a statutory definition for gig workers.

"This includes a mechanism for dispute resolution, income protection and social security contributions," he said.

North South Initiative Co-founder Adrian Pereira said that extensive consultations and engagements were held over a two-year period to draft a comprehensive law.

"There should be no excuses saying that no consultations were held," he said, describing the proposed law as a win-win for all involved.

Research has shown that setting a minimum wage for gig workers would result in better productivity while developing the industry into a stable and professional workforce for the nation, he said.

Malaysian Artistes' Association President Freddie Fernandez said the proposed law would provide some protection for those in the music industry, which is a whole ecosystem comprising musicians, sound engineers and concert crews.

"There are no regulations or laws that cover the employment of musicians, singers and those in the creative industry.

"A lot of their issues remain unresolved, such as not getting paid or late payments with no avenue for recourse. The new law will settle those issues," he said.

Malaysian e-hailing Association Chief Activist Jose Rizal said the proposed law will be a "game-changer".

"It will transform the environment of the gig industry to make it stronger, more protected and secure."

He said the industry will enter a new chapter when the Bill is passed.

The Star, Malaysia