Source : @erwinkhairulahm
E-hailing drivers and p-hailing delivery riders stand to have a bigger share of their social security contributions covered, as the government offers a 35 per cent PERKESO matching contribution incentive that can rise to 50 per cent if platform companies also help pay, Information Department of Malaysia Director-General Erwin Khairul Ahmad said on October 29.
In a short explainer video he shared on X, Erwin said the higher rate applies when platform companies also bear part of the workers’ contributions, and that the incentive is subject to the conditions set.
“What’s the news today? Good news! This is once again for e-hailing and p-hailing workers. The MADANI Government truly cares about your welfare,” he said in the video, which also features riders on the road. “This support helps gig workers obtain social protection while they earn a living, subject to the relevant scheme and conditions.”
Erwin stressed why the cover matters for people who spend long hours on the road. “For workers who spend a lot of time on the road, an accident can cause their daily income to stop and add to family expenses,” he said, adding that contributions should be seen as essential preparation for work, alongside vehicle maintenance and safe riding habits.
He was also careful to explain what the incentive is not. The matching incentive helps cover part of an eligible contribution, he said, and “it does not mean the government pays 35 or 50 per cent of a worker’s income.” The 50 per cent rate, he added, depends on the platform company taking part.
Before registering or renewing their protection, Erwin urged workers to check the coverage period, contribution category, claim documents and the types of incidents covered, and to know how to get help if something happens. Workers can check their registration, contributions and eligible incentives at www.perkeso.gov.my or at any PERKESO office, and should also check whether their platform company takes part in funding contributions. “On the road we strive; protection must not be forgotten,” he said.
The incentive was announced by Prime Minister Datuk Seri Anwar Ibrahim when he tabled Budget 2027 in the Dewan Rakyat on October 9. In the same budget, the government also offered a 70 per cent PERKESO matching contribution incentive to more than 200,000 self-employed people in 17 sectors where coverage is not mandatory, and extended PERKESO tax relief to cover compulsory contributions under the LINDUNG Kendiri scheme, with additional relief of up to RM150 for voluntary LINDUNG 24 Jam and LINDUNG Kendiri contributions.
PERKESO, the Social Security Organisation, welcomed the budget measures and said it would make sure its operations and systems were ready to help self-employed people contribute to LINDUNG Kendiri and benefit from the matching incentives on offer.
The move builds on the Gig Workers Act 2025 (Act 872), under which social security contributions are mandatory for gig workers who earn through platform providers. According to PERKESO, platform providers must register these workers, deduct 1.25 per cent from every completed job and channel the money to PERKESO on their behalf, with the basic LINDUNG Kendiri plan costing RM157.20 a year. LINDUNG is the rebranded name PERKESO adopted for its social security schemes in August 2025, with the self-employment scheme under Act 789 now known as LINDUNG Kendiri.
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