Budget 2027: RM160m package for gig workers, but implementation will be key

The Malaysian government unveiled a RM160 million package for gig workers in its 2027 Budget, aiming to enhance the earnings and welfare of delivery partners. However, the effectiveness of the measures hinges on their successful implementation, according to Bryan Ng Yiih Min, a PPRPM adviser. The package, funded jointly by the government and Grab, addresses concerns such as operating costs, insurance, and social protection for delivery partners.

Ng emphasized that the benefits should be evaluated based on their impact on workers' daily lives, including their income after expenses, family protection, and retirement savings. The package includes provisions to increase minimum earnings, assist with vehicle maintenance, cover insurance, and support Socso contributions. For p-hailing riders, net monthly earnings could rise by up to RM100, while e-hailing drivers with median income could receive an increase of up to RM227 per month.

Additionally, the i-Saraan Plus scheme will continue to offer matching contributions of up to RM600 annually to help build retirement savings. New financing facilities totaling RM270 million will be provided by Bank Simpanan Nasional and Agrobank to support gig workers in starting businesses or purchasing homes. However, Ng cautioned that the application process for these facilities must consider the irregular income of gig workers.

PPRPM is committed to collaborating with the government, agencies, and platform operators to disseminate information, assist with registration, and relay feedback to improve implementation. Ng praised the Madani government for its commitment to the welfare of delivery partners, stating that they are essential to the economy and deserve decent earnings, protection, and opportunities for a better future.