Protecting gig workers in the age of automation
THE rise of Malaysia's gig economy has been nothing short of dramatic.
From delivery riders weaving through traffic jams in Kuala Lumpur to freelancers picking up projects online, more than three million Malaysians now depend on gig work for income.
For the B40 group, this is not pocket money — it is survival.
Yet behind the headline growth lies vulnerability. Gig work often means irregular pay, no benefits, and exposure to risks with little safety net.
For the B40, who rarely have savings, even a small disruption can be catastrophic. And the disruption staring them in the face is automation — particularly autonomous vehicles (AVs).
AVs promise lower costs and 24/7 efficiency. For platform operators, the economics are irresistible. For gig workers, especially drivers and delivery riders, it could mean being replaced.
The transition won't happen overnight, but history has shown how quickly technology can wipe out entire job categories.
Malaysia has begun to act.
The Gig Workers Bill 2025 has given legal recognition to gig workers, mandating contracts, Socso (Social Security Organisation) coverage, and a dispute resolution tribunal.
A Gig Economy Commission has been created to oversee implementation. Government programmes like e-Rezeki and GLOW aim to expand opportunities, while i-Saraan encourages savings.
But the reality is stark: only 20 per cent of self-employed Malaysians are registered with Socso.
Thus, the Gig Workers Bill 2025 is rightly hailed as a landmark. These protections are long overdue. But laws on paper won't stop automation from biting into livelihoods.
For platform operators, autonomous vehicles and automation are a dream come true. They run all night, don't ask for EPF (Employees Provident Fund), and never complain about potholes.
The risk is that Malaysia's most vulnerable workers — including delivery riders and drivers — end up competing against machines they can't possibly beat.
In addressing this issue, other countries are making their moves too.
France enforces sectoral agreements with minimum revenue guarantees.
Singapore has made Central Provident Fund (CPF) contributions compulsory for gig workers.
Singapore's Platform Workers Bill brings gig workers into the CPF system with phased contributions, while offering work injury protection.
Meanwhile, the UK has gone further, granting minimum wage and holiday rights to platform workers after landmark legal battles.
These models prove it is possible to balance flexibility with protection. Malaysia needs the same pragmatism.
To keep the gig economy sustainable, three steps are urgent:
First, ramp up reskilling programmes so riders can move into roles tied to automation — fleet maintenance, logistics, digital services.
Some companies are already taking the lead. Tenaga Nasional Berhad's reskilling programme, for example, offers training in digital skills and automation.
The Malaysia Digital Economy Corporation's GLOW programme prepares Malaysians for online freelancing. These efforts should be scaled nationally, with gig workers given priority access.
Second, make social security universal and mandatory, with simple registration and contributions.
Third, put responsibility on the platforms themselves, through wage subsidies, tax incentives, or transition funds for workers displaced by AVs.
There are emerging roles in AV maintenance, logistics management, fleet supervision, and digital services.
Without targeted programmes, B40 workers will be locked out of these opportunities.
The gig economy gave the B40 a lifeline in the digital era. Without decisive action, that rope could turn into a noose.
Malaysia has a chance to be a regional leader not just in protecting gig workers, but in equipping them to thrive in the very technology that threatens them.
The writer is the author of the book 'Unleashing Malaysia's Economic Potential'
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