New law to protect e-hailing drivers, delivery riders in Malaysia, including EPF, medical coverage – Zahid

The government is set to introduce new legislation to protect the safety and welfare of gig workers such as ride-hailing drivers and delivery riders, said deputy prime minister Ahmad Zahid Hamidi. According to a Bernama report, the law will provide financial and medical protections, including contributions to the Employee Provident Fund (EPF).

Zahid said the proposed bill will be tabled by the human resources ministry (Kesuma) during the current Dewan Rakyat session, as soon as debates on the Supply Bill 2025 have concluded. The move shows the government stands in solidarity with the 1.16 million gig workers nationwide, he added.

“This act will introduce a safety net for gig workers, ensuring comprehensive protection that includes not only contributions to the EPF but also coverage from the Social Security Organisation (Perkeso), as well as provisions for medical treatment costs,” he said, adding that Malaysia will be one of the first countries in the world to enact specific gig worker laws.

New law to protect e-hailing drivers, delivery riders in Malaysia, including EPF, medical coverage – Zahid

Zahid acknowledged that covering medical treatment costs in particular could have financial implications but said that the protection of gig workers’ welfare was deemed necessary. “We will thoroughly discuss this matter with the ministry of finance, the Kesuma and the Malaysian Gig and Labour Union Secretariat who will give its feedback after consultations are done with universities, Universiti Malaya (UM) in particular. UM has provided the secretariat and Kesuma with advisory services, including legal insights,” he said.

In terms of the differences between the new legislation and existing labour laws, Zahid said that current laws do not specifically address the latest gig economy developments. “Based on a recommendation from the human resources minister, the cabinet has decided that a dedicated act is essential to ensure that this legislation does not conflict with existing laws,” he added.

Related to this news, Zahid said the Malaysian Gig and Labour Union Secretariat has proposed extending Perkeso’s protection to cover gig workers outside their official working hours. The New Straits Times has separately reported that the proposed protection for gig workers will apply 24 hours a day, as requested by those in the sector.

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