HR minister: Only 20pc of e-hailing drivers contribute to Socso’s self-employment scheme

SUBANG JAYA, Jan 9 ― Only about 20 per cent of  e-hailing drivers nationwide have contributed to the the Social Security Organisation (Socso)’s Self-Employment Scheme (SPS), so far.

Human Resources Minister M. Kulasegaran said the number had increased compared to 2018 but was still far from the 100,000 e-hailing drivers targetted by the ministry to contribute to the scheme last year.

Currently, there are about 200,000 e-hailing drivers in the country.

“It’s improving (number of contributors), but still has not reached our target because they do not understand the risks, injuries or accidents that can occur at work.

“We want all e-hailing drivers to participate in this scheme for the sake of their safety as they carry out their duties,” he said after delivering a keynote address at the “Employment Law Reforms: What Lies Ahead” forum here today.

Kulasegaran, however, said the government has no plans yet to take action against e-hailing drivers who have not signed up for the scheme.

The Self-Employment Scheme is compulsory for taxi drivers and services such as e-hailing under the provisions of the Self Employed Social Security Act 2017 effective June 1, 2017.

E-hailing drivers who fail to contribute may be subject to legal action, including a maximum compound of up to RM4,000 under the act.

Kulasegaran said there was a proposal for the scheme to be extended to riders using motorcyle-hailing platforms.

“We will look at the factors enabling them to contribute to the scheme. They can apply and we will consider,” he said.

Currently, there are about 25,000 food delivery riders around the Klang Valley.

At the same time,the motorcycle taxi service, Dego Ride, began operations on January 1, with about 500 riders in the Klang Valley. ― Bernama