Gig Workers Act To Take Effect By End Of March - Ramanan

PETALING JAYA, Jan 26 (Bernama) -- The Gig Workers Act 2025 (Act 872) will come into force by the end of March at the latest, once all implementation mechanisms, including the consultative council, tribunal and related offices, have been finalised, said Human Resources Minister Datuk Seri Ramanan Ramakrishnan.

He said the gig workers’ consultative council membership would be announced later, with priority given to major platforms like Grab that represent a large share of the gig workforce.

“We need a little time to finalise the membership structure and will announce it soon,” he said, adding that priority has to be given to those operating on a large scale.

He spoke to reporters after launching the Grab Partner Campus here today.

Gazetted on Dec 31, the Gig Workers Act seeks to protect the social security, welfare, and dignity of gig workers, extending protections comparable to those of formal employees to more than 1.2 million people in the sector.

He added that Grab had committed to raising Social Security Organisation (PERKESO) coverage for its registered gig workers to 15 per cent, up from 10 per cent.

Grab is also offering training and upskilling for 5,000 workers this year, backed by government funding through the Skills Development Fund Corporation (PTPK), to support gig worker welfare.

Meanwhile, on regulating gig workers’ income, Ramanan said the national minimum wage of RM1,700 remains the baseline, while rider pay is determined by each platform.

He also rejected a uniform minimum fare, saying it would strain e-hailing platforms still seeking profitability and that a balance is needed between worker welfare and business sustainability.

“Many think that if we just look after the workers, everything will be okay. That may be popular, but as I’ve told all senior ministry officials, we must have a balance,” he said.

-- BERNAMA