ILO looks to Malaysia as reference point to regulate gig economy, says Zahid

Free Malaysia Today

12 hours ago

Key aspects of the Gig Workers Bill 2025 include the introduction of an official definition for gig workers, setting minimum compensation and establishing a grievance mechanism. (Bernama pic)
BANGI : The International Labour Organization (ILO) is looking to Malaysia as a reference point in its effort to regulate the gig economy, says deputy prime minister Ahmad Zahid Hamidi.
Zahid, who chairs the high-level committee for the establishment of the Malaysian Gig Economy Commission (SEGiM), said the ILO's interest reflected the global significance of Malaysia's pioneering approach in drafting legislation aimed at protecting gig workers' rights.
'This bill, which will be tabled and potentially passed in Parliament in August or September this year, is not just about setting the protection net (for gig workers) in stone,' he told reporters after chairing a roundtable session on the gig economy here today.
'It's the first of its kind focussed entirely on the gig economy, unlike in other countries that simply append it to existing laws.'
He said a representative from Malaysia had presented the country's framework at the ILO headquarters in Geneva recently, with the organisation expressing interest in studying Malaysia's experience more closely.
Zahid confirmed that SEGiM would be set up under the Prime Minister's Department to oversee the development and implementation of policies tailored for the gig economy, including upskilling initiatives and social protection mechanisms.
The commission will work closely with the digital, transport and human resources ministries to ensure gig workers are given opportunities not just for temporary income but also for long-term career development, including entrepreneurship.
Zahid also said SEGiM would serve as the main authority for the gig sector nationwide.
It would be responsible for ensuring industry compliance with standards and transparent policy execution, while also strengthening self-regulation practices among platform providers, he said.
To enhance policymaking and ensure industry feedback is heard, Zahid proposed informal town hall sessions involving gig platform operators, government officials, and other stakeholders.
He said such dialogue should happen in a more relaxed setting, reflecting the flexible nature of the gig sector.
'Too many meetings are too formal. I've suggested we adopt a more casual, open format for discussions. No rigid protocols – just honest conversations between those affected and those responsible for the policies.'
The establishment of SEGiM was first proposed by the Malaysia Digital Economy Corporation under the digital ministry.
Key aspects of the Gig Workers Bill 2025 include the introduction of an official definition for gig workers, setting minimum compensation, establishing a grievance mechanism, and implementing social security protection such as mandatory contributions to the Social Security Organisation.