Umno proposes Gig Economy Commission to regulate booming Malaysian industry
The Gig Economy Commission Malaysia (SEGiM) has been proposed by Umno, a Malaysian political party, to regulate the burgeoning gig industry ecosystem and protect the welfare of service providers, suppliers, workers, and consumers. Umno President Ahmad Zahid Hamidi highlighted that the gig economy is thriving in Malaysia, with over 1.12 million gig workers registered with the Malaysia Digital Economy Corporation (MDEC). He also noted that more than 80% of gig economy users are young people.
The Malaysian Internet economy market has experienced rapid growth, reaching transactions worth RM52.4 billion (US$12.7 billion) in 2020 alone, and is anticipated to grow at a rate of 23% annually. The establishment of the Gig Economy Commission would provide a new framework for gig economy players such as Grab, Lalamove, and Food Panda. Additionally, it would enable the government to structure the gig economy taxation system, which currently witnesses a significant flow of cash through these services overseas.
In his policy speech at the 2023 Umno General Assembly, Ahmad Zahid also urged the government to expedite the re-implementation of the High-Speed Rail (HSR) development, initially initiated by former Prime Minister Najib Razak. He further emphasised the importance of completing the construction of the East Coast Rail Line and Pan Borneo Highway on schedule, benefiting the people of Sabah and Sarawak. The completion of these infrastructure projects is expected to generate economic growth, create jobs, and develop small industries.
