Nation

Don't stay neutral on riders' wage rates, govt urged

KUALA LUMPUR: Activist groups have said that it is high time for the government to intervene in addressing the bread-and-butter issue faced by workers in the e-hailing and p-hailing sectors.

This comes after p-hailing riders on Friday submitted a memorandum to the Transport Ministry on the problems they faced, among them being the reduced basic wage rates.

Malaysian eHailing Alliances chief activist Jose Rizal said the government should not be neutral on the issue of wage rates, as it has been a long-standing problem among riders.

"Any government that is at the helm must take responsibility for any issue, especially if it involves its citizens.

"In the case of e-hailing and p-hailing, we should be aware that the companies dominating the national market are foreign companies and not national companies.

"All issues related to the welfare of Malaysians who serve under their platforms, if not directed or dealt with by the government, will only harm the country in the long term as most people involved in these activities are not provided with social security and provident savings.

"Do not allow Malaysians to be manipulated and exploited in their own country with various nonsensical terms such as 'gig worker' and 'freelancer'," he told the New Sunday Times.

Meanwhile, the government last month said it maintained a neutral stance in determining the wage rates given by e-hailing or p-hailing companies to their riders.

Communications Minister Fahmi Fadzil said no decisions have been made to interfere directly in matters related to wage rates, except when the companies are licenced.

However, the memorandum was acknowledged by Transport Minister Anthony Loke yesterday, who said that it will be reviewed while an explanation would be sought from Grab on the declining payment rates.

Jose proposed that the government draw up a standardisation method for e-hailing and p-hailing services to avoid the system being abused.

"Introduce a real-time wage calculation metre that can measure distance, time and other factors involved to ensure justice and equality for all parties.

"This will also discipline all parties involved in the economic cycle to behave appropriately when using the services instead of abusing them."

Concurring with Jose, Malaysian P-Hailing Riders Association president Zulhelmi Mansor said government intervention was crucial.

He added that the government must expedite the establishment of the Malaysian Gig Economy Commission, which will act as a regulatory body in the gig ecosystem, including p-hailing.

"This is because the gig economy industry involves overlapping areas of authority between ministries and agencies. What the grassroots want here is a fair legislative plan involving stakeholders.

"During this period, the government needs to consider short-term and long-term plans to ensure the welfare of these delivery partners is protected."

He further explained the need to study and understand the p-hailing service ecosystem.

"For example, in food delivery services, service providers have imposed service fees on business partners, reaching up to 40 per cent. "What has happened is that these business partners have increased the prices of their food or products.

"This places a burden on consumers in terms of the increased prices of food/products, rather than on the delivery service fees."

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