Grab Malaysia Co-funds Five Initiatives Under Budget 2027 To Boost Gig Worker Earnings

A central component of the announced package is a proposed minimum baseline rate for e-hailing and p-hailing workers, expected to take effect from 2027. Grab has reached an agreement in-principle on this rate adjustment, which is designed to increase partner take-home earnings while keeping passenger fares stable during the rollout period. The Gig Consultative Council will continue deliberations to finalize the rates.

Beyond direct earnings, the initiatives address significant operational expenses. The Government will co-fund a vehicle maintenance subsidy, starting with lubricants, which is expected to reduce costs for driver and delivery partners by up to 35%. Additionally, an interim safety incentive will help offset regulatory e-hailing insurance costs, reducing them by up to 25% for driver-partners with good safety scores. Grab intends to explore longer-term solutions for insurance costs with the Government.

Social protection is also a focus, with enhanced PERKESO coverage. Grab's most active driver and delivery partners will receive 100% free coverage, while others will receive up to 50% contribution subsidies, structured so that take-home earnings are not reduced. The fifth initiative involves a first- and last-mile monthly transit pass in the Klang Valley, offering discounted e-hailing rides to and from train stations to improve public transport access and generate additional income demand for driver-partners.