KUALA LUMPUR (Oct 9): Malaysia has no immediate plan to compel gig economy platforms to make mandatory social security contributions though the government will consider the proposal for future policy improvements.
The government recognises the need to preserve the flexibility and independence that define gig work, which distinguishes gig workers from conventional full-time employees under current labour laws, Human Resources Minister Steven Sim Chee Keong told the Dewan Rakyat on Thursday.
“Many prefer flexibility and autonomy rather than being full-time workers,” he said during the minister’s question time on Thursday. “Therefore, for now, under the new Gig Workers Bill, contributions to Socso’s self-employed protection scheme will still be made voluntarily by the workers themselves.”
Under the Gig Workers Bill passed this year, protection has been strengthened by offering upfront coverage to registered gig workers before any contributions are made to the Social Security Organisation, also known as Socso or its Malay acronym Perkeso.
The bill also introduces a more flexible and affordable payment method through automatic deductions. Currently, gig workers must pay their annual Socso contributions upfront, with four packages ranging from about RM157 to RM593 per year.
Sim was responding to Datuk Awang Hashim (PN–Pendang), who asked whether the government planned to require platform operators, such as ride-hailing and food delivery companies, to share part of the contribution burden.
Awang also urged the government to ensure that large platform operators that profit from the gig economy also shoulder part of the social security responsibility to promote corporate accountability.
In response, Sim said the idea would be studied for future enhancement, though the government’s immediate focus is on implementing the new gig work law to ensure foundational protection.
“This is indeed a good suggestion for future improvement. But at this point, the liability for contribution remains with the workers themselves,” he said.
Earlier, Sim also addressed a question from Datuk Mohd Isam Mohd Isa (BN–Tampin) on plans to expand 24-hour social security protection for all categories of workers — including part-timers, shift workers, and gig workers.
Sim said there are still gaps in the current system as Socso rejected 87% of the 538,000 claims received since 2018 because they were not classified as work-related incidents.
To address the issue, Sim reiterated that the government plans to introduce the Employment Casualty Protection Scheme under the new labour framework. The scheme will provide round-the-clock coverage, including for accidents that occur outside of work hours.
With the new scheme, Socso will bear the medical costs for contributors even when accidents are not work-related, said Sim. “This will not only reduce the financial burden on workers and their families but also ease the strain on the public healthcare system,” he added.
The Edge Malaysia. (2025, October 13). Govt rules out gig firms’ mandatory contributions to Socso, for now. https://theedgemalaysia.com/node/773384
- PERKESO reforms ensure comprehensive protection for all workers, says HR Minister
KUALA LUMPUR: The Human Resources Ministry, through the Social Security Organisation (PERKESO), continues to undertake comprehensive reforms to strengthen social protection for all contributors, including gig workers and foreign workers, says Steven Sim Chee Keong. The Human Resources Minister said that 10 major reforms have been implemented over the past two years to provide more […] - KESUMA’s drive for fair work and shared progress
The LIFE AT WORK Awards (LAWA) hosted by Talent Corporation Malaysia Bhd (TalentCorp), celebrates its 10th edition, solidifying its influence as a platform that drives transformation in diversity, equity and inclusion (DEI) in Malaysian workspaces. With concerns regarding human capital rising amid the ubiquity of artificial intelligence (AI), it is crucial now more than ever […] - ‘Many employers not making mandatory Perkeso, EPF contributions’
KLANG: The Human Resources Ministry has detected a worrying number of employers still refusing to register or make mandatory contributions to the Social Security Organisation (Perkeso) and Employees Provident Fund (EPF) for their workers. The ministry stressed that such actions violated employees’ rights and denied them basic protection. Deputy Human Resources Minister Datuk Seri Abdul […] - Nearly 500 labour law breach cases detected
KLANG: Almost 500 investigation papers have been opened against employers for breaches of labour laws as of Nov 1, says Deputy Human Resources Minister Datuk Seri Abdul Rahman Mohamad. Among the most common labour law offences are employers’ failure to make the mandatory contributions to the Social Security Organisation (PERKESO) or the Employees Provident Fund […] - MOHR Won’t Tolerate Companies Preventing Workers From Forming Union
The Industrial Relations Department of the Human Resources Ministry (MOHR) has reaffirmed its commitment to safeguarding workers’ rights after a gathering and memorandum submission by several labour unions concerning alleged union-busting practices. The department emphasised that it respects the constitutional right to peaceful assembly and freedom of speech, while reiterating that workers’ rights to form […] - Court Orders Employer To Pay 93 Migrant Workers Outstanding Wages
Human Resources Minister Steven Sim Chee Keong has welcomed the Shah Alam High Court’s decision to uphold an earlier ruling by the Labour Court, ordering an employer to pay outstanding wages to 93 migrant workers who were left without work upon arrival in Malaysia. The High Court on 31 October 2025 affirmed the Labour Court’s […] - No tolerance for employers who withhold wages, says HR Minister
The Ministry of Human Resources (KESUMA) has urged all employers to take heed of the recent Shah Alam High Court ruling which upheld a decision in favour of 93 migrant workers in an unpaid wage case. Human Resources Minister Steven Sim Chee Keong said the Oct 31 decision sends a strong message that failure to […] - THE HEART WORK REVOLUTION
TEN years after its inception, the Life at Work Awards (LAWA) 2025 marked not just a milestone but a movement that celebrates how Malaysia’s workplaces are evolving with compassion, flexibility and purpose. Hosted by Talent Corporation Malaysia Bhd (TalentCorp), the gala night honoured organisations leading the way in shaping a fairer, more progressive, human-centred world […] - Group wants clear framework, pilot projects before expanding EIS to gig workers
PETALING JAYA: The Malaysian Industrial, Commercial and Service Employers Association (Micsea) has called on the government to set a clear policy framework and run pilot projects before expanding the Employment Insurance System (EIS) to gig and platform-based workers. The association said the plan, announced by human resources minister Steven Sim in the Dewan Rakyat on […] - Employer group seeks clarity on foreign worker pay rules after court ruling
KUALA LUMPUR (Nov 3): The Malaysian Industrial Commercial & Service Employers Association (MICSEA) is calling on the Ministry of Human Resources (MOHR) to issue clear and structured guidelines on wage payment timelines for foreign workers, following a recent court ruling that employers must pay wages from the moment these workers arrive in Malaysia. The call […]