Proposed 1.25% Socso rate for gig workers to apply across all platforms

Proposed 1.25% Socso rate for gig workers to apply across all platforms

Human resources minister Steven Sim says only 26% of gig workers have social security coverage at the moment.

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Human resources minister Steven Sim said a total of RM8.98 million in benefits were channelled to contributors in the sector for 1,535 claims made last year.  (Bernama pic)
KUALA LUMPUR:
The proposed 1.25% rate for gig workers’ Social Security Organisation contributions will apply across all e-hailing and p-hailing platforms, says human resources minister Steven Sim.

Speaking to reporters after the signing of a memorandum of understanding between Socso and Foodpanda here today, he said contributions made by a gig worker using various platforms would be consolidated into a single fund for the worker.

“It doesn’t matter what platform he works on. If you work more on platform A, your contributions will be 1.25% of the amount earned from that platform. The same goes for platforms B and C.

“(The rate is) not going to be contradictory (or differ between platforms),” he said.

In his speech officiating the event earlier, Sim said social security coverage among gig workers is still low at only 26% of 1.16 million people in the sector.

“According to data from the social security scheme for the self-employed (SKSPS), there are 123,173 contributors in the e-hailing or p-hailing sector, or 40.7% of the total 302,414 people.

“A total of RM8.98 million in benefits were channelled to contributors in the sector throughout 2024 for 1,535 claims.

“As such, social security protection, which has already been made mandatory for this sector, needs to be increased to ensure their socioeconomic stability will not be affected by workplace crises,” he said.

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