UNI-MLC: GIG WORKERS ACT 2025 A MAJOR MILESTONE, EFFECTIVE ENFORCEMENT ESSENTIAL

KUALA LUMPUR, April 1 (Bernama) -- The enforcement of the Gig Workers Act 2025 (Act 872) must be followed by continuous engagement with stakeholders, including trade unions and worker representatives, to ensure the effectiveness of worker protection reforms in Malaysia.

The Union Network International-Malaysian Liaison Council (UNI-MLC) said that while the act represents a significant step towards ensuring legal protection for gig workers, its success hinges on effective implementation, commitment from all parties, as well as active worker participation in policy discussions and improvements.

According to UNI-MLC, the act provides essential protections for gig workers, including transparency in service agreements, clear pay rates and access to dispute resolution mechanisms via the Department of Industrial Relations Malaysia and the Gig Workers Tribunal.

“Setting the minimum income rate should be done transparently, based on the current cost of living and taking into account the realities and risks faced by gig workers.

“At the same time, enforcement by relevant agencies, including the Department of Labour, the Department of Occupational Safety and Health, and PERKESO (the Social Security Organisation)  must be carried out consistently, transparently and with integrity to ensure compliance on the ground,” UNI-MLC said in a statement today.

Act 872, which came into effect yesterday, is set to benefit approximately 1.64 million gig economy workers, offering transparency in service agreements, guaranteed income rates, protection from discrimination, PERKESO coverage, and occupational safety and health protection.

UNI-MLC stressed that raising awareness among gig workers and platform providers, as well as continuous implementation and consistent enforcement, was critical to ensuring that the objectives of the act were fully achieved.

In the context of today’s gig employment reality, UNI-MLC emphasized that the scope of protection needed to be expanded beyond social security aspects.

“There are categories of gig workers, such as babysitters, masseurs, and care and health service providers who use digital platforms and are exposed to higher security risks, including sexual harassment, physical safety threats, and scams.

“Protection under this act must also take into account the human rights dimension, including protection from discrimination, harassment, and exploitation, as well as security guarantees while providing services, through more comprehensive mechanisms such as security guidelines, customer verification systems and responsive, effective complaint channels,” it said.

Meanwhile, UNI-MLC welcomed the tripartite approach through the establishment of the Gig Consultative Council, which brings together government representatives, workers, and contracting entities to discuss matters related to minimum wage rates, work standards, and policies in the gig sector.

It also said that the establishment of the Malaysian Gig Economy Commission (SEGiM) was seen as a strategic step to ensure that governance of the sector was implemented in a more structured, comprehensive, and effective manner.

--BERNAMA