Major Gig Platforms Inject RM1.5 Million Into PERKESO Safety Net

Three major players in Malaysia’s gig economy—Foodpanda, Grab, and Halo—have collectively contributed RM1,514,412.40 to the Social Security Organisation (PERKESO), aimed at providing essential protection for 500 e-hailing drivers and p-hailing riders. Human Resources Minister Datuk Seri R. Ramanan officially announced the funding during the Festival Mega iLINDUNGu held at Strand Mall, Kota Damansara.

The financial breakdown of the contribution reflects varying scales of participation among the platforms. Foodpanda took the lead with a RM1 million contribution, followed by Grab with RM500,000, and Halo providing RM14,412.40. According to the original publisher, this infusion of capital is designed to ensure that 500 workers are brought under the umbrella of PERKESO’s social safety net, providing a crucial buffer against workplace risks.

During the event, Minister Ramanan highlighted a positive shift in worker participation, noting that 87% of gig workers are now actively contributing to the iLINDUNG scheme. This initiative, introduced last year, has seen a steady uptick in adoption, though 13% of the workforce remains outside the coverage pool. The Minister reaffirmed that PERKESO protection now triggers from the very first task completed by a worker, provided they meet the specific requirements for scheme enrollment.

The festival also served as a service hub, offering direct assistance to gig workers struggling with administrative hurdles. A dedicated Opt-In LINDUNG 24 Jam counter was established to help workers who had previously opted out of the scheme to regain their coverage. Beyond registrations, the event allowed workers and employers to seek expert advice, process payments, and engage with the broader PERKESO ecosystem to ensure their benefits remain active and accessible.

For the average Malaysian gig worker, these contributions represent more than just corporate social responsibility; they signify a structural shift toward formalizing the gig economy. As the cost of living remains a focus, with headline inflation currently at 1.9% as of August 2026, the absence of a safety net can be financially devastating for a driver or rider involved in an accident. For consumers, this trend suggests a potential stabilization in the availability of services, as platforms move to retain talent by offering more secure working conditions.

However, the reliance on one-off platform contributions raises questions about long-term sustainability. While this injection protects 500 workers, it serves as a temporary measure. For SMEs and gig-dependent businesses, the push for mandatory social security implies that operating costs within the platform economy may continue to drift upward, potentially influencing future delivery or transport fees. Investors should monitor whether these platform contributions become a standard regulatory expectation or if they remain voluntary gestures to appease labor regulators.

This move aligns with broader national efforts to integrate the informal sector into the formal economy, especially as Malaysia maintains a 3.0% unemployment rate with over 520,000 people currently seeking work. By bringing more workers under the PERKESO umbrella, the government aims to reduce the burden on public welfare systems should these individuals suffer work-related injuries. The Festival Mega iLINDUNGu also served as a recruitment drive, connecting job seekers with 2,000 vacancies across 25 employers, with salary packages ranging from RM2,000 to RM12,000.

The initiative highlights the tension between the flexibility of gig work and the need for traditional labor protections. With real GDP growth standing at 6.0%, the government is clearly aiming to ensure that the growth of the digital economy does not come at the expense of worker welfare. The success of these schemes relies heavily on high participation rates, and the recent efforts to reach the remaining 13% of workers suggest a more aggressive push toward universal coverage.

What remains unconfirmed is how the government plans to incentivize the remaining 13% of workers who have yet to join the iLINDUNG scheme. While these platform contributions provide a significant short-term boost, it is currently unknown whether these companies have committed to recurring annual payments or if future coverage expansion will fall entirely upon the workers or the state.