E-HAILING drivers and P-hailing riders are hoping the government will come up with a beneficial Budget 2024 for gig workers to protect their rights. 

Speaking to The Malaysian Insight, they expressed concern over low pay as well as lack of insurance protection.

They said the matter has not been resolved despite Prime Minister Anwar Ibrahim’s promise to look into the issue back in July.

Malaysian P-Hailing Delivery Riders Association deputy president Abdul Hakim Abdul Rani said he hoped the government would announce the formation of the Gig Economy Commission of Malaysia (SEGiM) during the tabling of the budget on October 13.

He said he hoped the government would tackle the low fare rate which has been an ongoing issue for the past two years 

“I hope the government can announce SEGiM because it is an important commission aimed at protecting the well-being of gig workers in the country. 

“There are many issues that have not been resolved and I believe with the establishment of the commission, we could see many things being tackled from low fare rates to insurance schemes for our safety.

“As for now, many of us have to accept low fare rates because this is the only job we have. To put food on our table we have to work. We have families to feed therefore I look forward for better protection from the government for gig workers like us,” he said.

In June, Deputy Prime Minister Ahmad Zahid Hamidi was handed a memorandum on the establishment of SEGiM.

The memorandum was presented by three representatives of workers’ organisations, namely the Malaysian Trades Union Congress (MTUC), Malaysian P-Hailing Riders’ Association (Penghantar) and Malaysian eHailing Coalition (Gem). 

In his policy speech at the Umno General Assembly 2023, Zahid proposed the establishment of SEGiM to regulate the gig industry ecosystem in the country.

Zahid said this proposal was also to safeguard the welfare of the entire economic chain of the industry, beginning from service providers to suppliers, workers and consumers.

In September, several riders interviewed by The Malaysian Insight expressed dissatisfaction towards e-hailing and p-hailing companies which, according to them, failed to listen to their grouses, especially on fare rates.

They said at the moment, there was no entity regulating the fare rate for riders, thus giving e-hailing companies total control in dictating fares.

In June 2022, consumer groups urged p-hailing companies to cut the commission they charge their riders and provide riders with more incentives. The groups said p-hailing fares should be regulated so that the service is more affordable.

Federation of Malaysian Consumers Associations president Marimuthu Nadason previously said Grab – one the more popular p-hailing providers – was charging its riders a 20% commission.

One-off payment

Grab Drivers Malaysia Association president Arif Asyraf Ali hoped for a one off payment to be given to all drivers to cope with the high cost of living. 

He said due to the low fare rate, some drivers received only 50 sen profit after deducting other costs such as maintenance and fuel.

“The one off payment will help a lot of us settle our debts or cover our costs. It would definitely lift some burden off our shoulders. Some jobs are just not worth it but we have to take it whether we like it or not. 

“It is not everyday you will get a large fare, sometimes you don’t and we accept it but at least help us out. The problem is, everything is going up but our rate is the only thing that is going down. How can we cope?” said Arif.

He said he would love to see the government tackle the low fare rate.

“If the companies disagree, the least the government can do is introduce a ceiling price. This way the companies and workers win,” he said.

Arif said the current 45 sen per km rate was very low. 

He said they have been asking for the rate to be increased to at least 75 sen to RM1 per km but this has fallen on deaf ears.

Twenty-seven year old rider Farid Fitri Abdul Halim meanwhile wished for more incentives.

He said it would be great if the government could find a mechanism to allow every gig worker to receive a monthly allowance even as low as RM50.

“Things are not cheap these days. From rents to household items, everything is expensive. As riders we rely on orders and some days we get high orders, some days we don’t. Plus the fare is not on our side. 

“In this budget, I would love to see the government provide us with incentives, be it one off or monthly allowance. Why not increase the Bantuan Sara Hidup for gig workers like us?” he said.

Agreeing with Farid is Hikmie Hakim Mohd Amin, who said the current situation was tough.

“We could earn good money during the Covid-19 period because many sectors relied on us but now businesses have opened up and competition is high.

“There are not just one or two companies now but many. I hope the government can take care of us by protecting our rights and safety. Give us a rational fare rate and insurance protection.

“For me this is more important. They can provide money, but how long will it last. In the end we need to work hard to earn money. If we are given an appropriate fare and insurance scheme, that will be better,” he said. – October 2, 2023.