Malaysia’s minimum wage subsidy excludes gig economy workers

Malaysia’s minimum wage subsidy does not apply to gig economy workers as they do not classify as employees under the country’s labour acts, said Deputy Human Resources Minister Datuk Awang Hashim.

There are no records or labour cases so far that can be used as a “test case” that allows gig economy workers to enjoy the same benefit as employees under the country’s labour laws, the minister said, addressing the lower house of Parliament, reports Bernama. 

However, he added that through the Self-Employment Social Security Act 2017, the government provides social security protection to the self-employed, which covers the gig economy, such as those working in food delivery and ride-hailing. 

The minister also added that the government had rolled out several initiatives to spur employment opportunities for jobseekers. 

READ: Socso supports employment initiatives under new Malaysia Budget

“In a situation where the economy is still in the recovery process, the government through the Social Security Organisation introduced a hiring incentive programme, mobility assistance and training programme under the National Economic Recovery Plan (Penjana),” he added.