Gig Workers Bill 2025: Strengthening Malaysia’s Gig Economy

Malaysia has taken a decisive step in reshaping its labour landscape with the passing of the Gig Workers Bill 2025 in the Dewan Rakyat. This Bill delivers comprehensive protection for nearly 1.2 million gig workers, including P-hailing and E-hailing drivers, freelancers, self-employed professionals, and creative industry practitioners.

The legislation arrives at a symbolic moment, coinciding with the nation’s 68th Independence Anniversary. It reflects Malaysia’s wider ambition under the Malaysia MADANI framework to create a labour market that balances fairness, welfare, and sustainability. By addressing long-standing gaps in protection, the Bill marks a milestone in integrating gig workers into the formal economy.

Key provisions of the Bill include:

1. Legal Recognition of Gig Workers

Gig workers now gain formal recognition under the law, securing their rightful place in the labour system.

2. Fair Income Framework that fits to Living Costs

The Bill introduces a structured pay system aligned with living costs. Negotiated between the government, digital platforms, and workers, this framework ensures fair and sustainable income levels.

3. Special Tribunal for Disputes

Disputes between workers and platforms will be addressed through a dedicated tribunal, providing faster and fairer resolutions.

4. Mandatory SOCSO (PERKESO) contribution

Platforms must contribute to SOCSO (PERKESO) on behalf of workers. This measure, supported by digitalisation, strengthens long-term welfare and security.

Other important measures：

Furthermore, platforms are now required to establish transparent grievance mechanisms, giving workers a formal channel to raise issues. If disputes cannot be resolved internally, they may escalate to mediation or the Special Tribunal.

In addition, coverage now extends beyond transport and delivery. The Bill safeguards workers in film, music, caregiving, translation, and photography, ensuring inclusivity across Malaysia’s growing gig economy.

As a result of these provisions, gig workers benefit from legal recognition, stronger income security, mandatory welfare protection, and access to justice. At the same time, the legislation carefully preserves the flexibility and diversity that make gig work appealing.

Moreover, the Bill strengthens Malaysia’s social contract by embedding principles of justice and inclusivity. It demonstrates the government’s determination to protect vulnerable groups while fostering a labour market that supports growth and innovation.

Ultimately, the Gig Workers Bill 2025 stands as both a policy breakthrough and a national milestone, setting a clearer and more secure path for the future of gig work in Malaysia.

**Last updated on 02.09.2025