WHILE gig work, particularly p-hailing services, has been around for years, it has evolved beyond a mere side hustle into a viable job option for many Malaysians.
According to Foodpanda Malaysia head of logistics Shubham Saran, the gig economy in Malaysia has experienced significant growth in recent years, thanks in part to the Covid-19 pandemic.
This transformation has reshaped the country's employment landscape and redefined how freelancing is perceived.
Gig economy growth
According to the Economic Planning Unit, the gig economy contributed about seven per cent to the nation's gross domestic product in 2021, underlining its substantial impact.
"Moreover, this sector has provided income opportunities to around two million Malaysians, cementing its role as a significant source of employment. This was especially critical during the pandemic when it became a lifeline for many suffering from the economic impact of Covid-19," said Shubham.
"From that, seven out of 10 workers are p-hailing delivery partners, according to a survey by Malaysia Digital Economy Corporation, showing just how important riders are to the economy."
The same survey revealed that almost half of all gig workers cited financial sustainability as their main reason for joining the gig economy.
The reasons are obvious — gig work is the fastest and most flexible source of income, whether supplementary or primarily.
A Malaysian lifestyle
Shubham said the riders have seamlessly integrated into Malaysian life, facilitating the delivery of food, groceries, packages and more where millions of orders crisscross cities and towns to be delivered each day.
"P-hailing riders not only provide convenience to consumers but also significantly boost the growth of quick-commerce and online services. Their work is the backbone of the gig economy and bolsters the broader economy by driving trade and consumption," he said.
In Malaysia, the gig economy has been evolving over the years and the role of riders has been both crucial and complex.
"While riders view this job as a convenient source of income, drawn in by its flexibility and quick access to fair income, many have criticised the nature of the work as an impediment to socio-economic mobility.
But if we look from the lens of the younger generation, they would find gig work a viable springboard to other industries or even entrepreneurship opportunities," said Shubham.
"We have to accept that there are many pathways to success for young Malaysians. However, the key importance is in recognising the potential for growth and upskilling within this sector.
We delve into the issue and encourage our riders to embrace the upskilling opportunities provided to stay relevant in an ever-changing job market for those who view gig economy jobs as a mid- to long-term opportunity," he added.
Commitment to rider upskilling
As a p-hailing platform, Shubham said foodpanda always engages with its delivery partners to provide numerous benefits and upskilling benefits for them.
"We recognise the pivotal role of riders in the gig economy and are committed to enhancing their value beyond delivery service."
One of the initiatives is partnering with Manipal International University to provide riders with the opportunity to pursue tertiary education focusing on a two-year sponsored journey to complete their Diploma in Business Management.
"This initiative aims to help our delivery partners enhance the skills and qualifications they need to advance their careers," he said.
Besides the diploma, Shubham said foodpanda has also taken proactive steps to empower its riders with short English courses.
Called "Panda Purpose", these courses are designed to enhance the English literacy skills of delivery partners, ultimately increasing their job delivery capabilities and employability.
"This commitment to language education and skills development underscores our dedication to the workforce as well as the quality of service we provide to our customers," he said.
