{"id":21403,"date":"2026-04-03T10:39:08","date_gmt":"2026-04-03T10:39:08","guid":{"rendered":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/?p=21403"},"modified":"2026-04-03T10:45:19","modified_gmt":"2026-04-03T10:45:19","slug":"social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap","status":"publish","type":"post","link":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/","title":{"rendered":"The Need For Social Security For Gig Workers In India: Bridging The Legal And Welfare Gap"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\" id=\"introduction\"><span class=\"ez-toc-section\" id=\"Introduction\"><\/span>Introduction<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">In the crowded lanes of urban India, millions of young men and women weave through traffic on scooters and motorcycles, delivering food, groceries, or ferrying passengers at all hours. Amit, a 27-year-old from a small town in Bihar now working in Delhi\u2019s outskirts. He starts his day before dawn with a quick-commerce app, chasing incentives to make ends meet for his family back home.<\/p><div id=\"ez-toc-container\" class=\"ez-toc-v2_0_83 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #0c0c0c;color:#0c0c0c\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #0c0c0c;color:#0c0c0c\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Introduction\" >Introduction<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Gig_Economy_Growth_in_India\" >Gig Economy Growth in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Key_Statistics_on_Gig_Workers\" >Key Statistics on Gig Workers<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Understanding_Gig_Workers\" >Understanding Gig Workers<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Key_Features_of_Gig_Work\" >Key Features of Gig Work<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#The_Instant_Delivery_Boom_and_Its_Pressures\" >The Instant Delivery Boom and Its Pressures<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Challenges_Faced_by_Gig_Workers\" >Challenges Faced by Gig Workers<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Core_Challenges_Income_Volatility_And_Beyond\" >Core Challenges: Income Volatility And Beyond<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Financial_Insecurity\" >Financial Insecurity<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Safety_Concerns\" >Safety Concerns<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Dignity_And_Voice_Remain_Limited\" >Dignity And Voice Remain Limited<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Additional_Vulnerabilities\" >Additional Vulnerabilities<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#What_Needs_To_Change_A_Roadmap_For_Reform\" >What Needs To Change: A Roadmap For Reform<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Stronger_Policy_Backbone\" >Stronger Policy Backbone<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Platform_Responsibility\" >Platform Responsibility<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Legal_Clarity_And_Worker_Voice\" >Legal Clarity And Worker Voice<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Learning_From_The_World\" >Learning From The World<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#The_Code_On_Social_Security_2020_A_Milestone_With_Room_For_Improvement\" >The Code On Social Security, 2020: A Milestone With Room For Improvement<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Challenges_And_Gaps\" >Challenges And Gaps<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Contrasting_Old_And_New_Frameworks\" >Contrasting Old And New Frameworks<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Key_Differences_Old_Vs_New_Framework\" >Key Differences: Old Vs New Framework<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Judicial_And_Global_Perspectives\" >Judicial And Global Perspectives<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Global_Legal_Developments\" >Global Legal Developments<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Towards_An_Equitable_Digital_Future\" >Towards An Equitable Digital Future<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Recent_Developments_And_Progress\" >Recent Developments And Progress<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Key_Reforms_Needed\" >Key Reforms Needed<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/www.legalserviceindia.com\/Legal-Articles\/social-security-for-gig-workers-in-india-bridging-the-legal-and-welfare-gap\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe app lets me work when I want,\u201d he shares, \u201cbut one accident, a low rating, or a sudden drop in orders, and everything falls apart.\u201d Stories like Amit\u2019s echo across cities from Bengaluru\u2019s tech corridors to Mumbai\u2019s bustling streets. They represent the human face of India\u2019s booming gig economy \u201cflexible work that powers modern convenience but often leaves workers exposed to uncertainty, risk, and isolation.\u201d<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"gig-economy-growth-india\"><span class=\"ez-toc-section\" id=\"Gig_Economy_Growth_in_India\"><\/span>Gig Economy Growth in India<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">India\u2019s gig sector has grown dramatically. The Economic Survey 2025-26 notes that the number of gig workers rose 55% from 7.7 million in FY21 to 12 million in FY25. They now form over 2% of the total workforce. Projections suggest non-agricultural gig work could reach 6.7% of the workforce by 2029-30, contributing around \u20b92.35 lakh crore to GDP. Platforms such as Swiggy, Zomato, Blinkit, Zepto, Uber, and Urban Company have reshaped urban services, turning smartphones and UPI payments into engines of opportunity. Yet this growth has come with a stark reality: many workers operate in a legal grey zone, lacking the protections that traditional employees take for granted.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"key-statistics-gig-workers\"><span class=\"ez-toc-section\" id=\"Key_Statistics_on_Gig_Workers\"><\/span>Key Statistics on Gig Workers<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Metric<\/th><th>Data<\/th><\/tr><\/thead><tbody><tr><td>Gig Workers in FY21<\/td><td>7.7 Million<\/td><\/tr><tr><td>Gig Workers in FY25<\/td><td>12 Million<\/td><\/tr><tr><td>Growth Rate<\/td><td>55%<\/td><\/tr><tr><td>Workforce Share<\/td><td>Over 2%<\/td><\/tr><tr><td>Projected Workforce Share by 2029-30<\/td><td>6.7%<\/td><\/tr><tr><td>GDP Contribution<\/td><td>\u20b92.35 Lakh Crore<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"understanding-gig-workers\"><span class=\"ez-toc-section\" id=\"Understanding_Gig_Workers\"><\/span>Understanding Gig Workers<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Gig workers engage in short-term, task-based assignments, usually arranged through digital platforms. They include delivery riders, ride-hailing drivers, freelance professionals offering home services, and others who earn per job rather than a fixed salary. The Code on Social Security, 2020, formally defines \u201cgig workers\u201d as those outside the traditional employer-employee relationship and \u201cplatform workers\u201d as those accessing work via online apps.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This classification marks a shift from older laws that focused mainly on organized sector jobs in factories or offices. Gig workers are often called \u201cpartners\u201d or \u201cindependent contractors.\u201d The term suggests autonomy, but in practice, algorithms control task allocation, ratings, and earnings. Workers enjoy flexible hours, It is an advantage for students, migrants, or those supplementing income but they also bear the full brunt of economic ups and downs, vehicle maintenance costs, fuel expenses, and health risks.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"features-of-gig-work\"><span class=\"ez-toc-section\" id=\"Key_Features_of_Gig_Work\"><\/span>Key Features of Gig Work<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Short-term, task-based employment<\/li>\n\n\n\n<li>Work allocated via digital platforms<\/li>\n\n\n\n<li>No fixed salary (earn per job)<\/li>\n\n\n\n<li>Flexible working hours<\/li>\n\n\n\n<li>Algorithm-driven ratings and incentives<\/li>\n\n\n\n<li>High exposure to financial and health risks<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"instant-delivery-boom\"><span class=\"ez-toc-section\" id=\"The_Instant_Delivery_Boom_and_Its_Pressures\"><\/span>The Instant Delivery Boom and Its Pressures<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Technological advancement, affordable data, widespread smartphone use and seamless digital payments have fueled the \u201cinstant delivery\u201d model. Companies compete fiercely on speed, sometimes promising deliveries within 10 minutes. Consumers appreciate the convenience of groceries or meals arriving almost instantly but this hyper-efficiency places enormous strain on riders.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Incentives tied to speed and volume push workers to take risks on congested roads. Long hours in harsh weather, skipping breaks, and navigating poor infrastructure become routine. A survey of platform workers across 10 cities revealed that nearly 25% work over 70 hours a week, 62% face near-miss accidents, and 27% have been in actual crashes. The pressure peaked in late 2025 when nationwide strikes by delivery workers highlighted unsafe conditions and declining real earnings. In response, the government urged platforms to ease rigid timelines, and several quick-commerce firms scaled back aggressive 10-minute promises in early 2026. While welcome, these changes underscore a deeper imbalance: platforms gain from efficiency and scale, while workers absorb the physical and mental costs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"challenges-faced-by-workers\"><span class=\"ez-toc-section\" id=\"Challenges_Faced_by_Gig_Workers\"><\/span>Challenges Faced by Gig Workers<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Long working hours (often exceeding 70 hours\/week)<\/li>\n\n\n\n<li>High accident and safety risks<\/li>\n\n\n\n<li>Unstable and fluctuating income<\/li>\n\n\n\n<li>Lack of social security and legal protection<\/li>\n\n\n\n<li>Pressure from ratings and algorithm-based systems<\/li>\n\n\n\n<li>Physical and mental stress due to work conditions<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"core-challenges-income-volatility-heading\"><span class=\"ez-toc-section\" id=\"Core_Challenges_Income_Volatility_And_Beyond\"><\/span>Core Challenges: Income Volatility And Beyond<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"financial-insecurity\"><span class=\"ez-toc-section\" id=\"Financial_Insecurity\"><\/span>Financial Insecurity<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Financial insecurity tops the list of difficulties. Earnings depend on demand, weather, festivals, algorithm changes, and customer ratings. The Economic Survey highlights that around 40% of gig workers earn less than \u20b915,000 per month. Platforms can alter commission rates or incentives without notice, making budgeting nearly impossible. Unlike salaried roles, there is no guaranteed minimum wage, overtime compensation, or paid leave.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"safety-concerns\"><span class=\"ez-toc-section\" id=\"Safety_Concerns\"><\/span>Safety Concerns<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Safety concerns compound the issue. Riders often lack employer-provided insurance or protective equipment. Accidents, injuries, heat exhaustion, and exposure to polluted air in major cities take a toll. During the COVID-19 pandemic, many continued essential deliveries without adequate safeguards or extra support, revealing how quickly gig income can vanish in crises.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"dignity-and-voice\"><span class=\"ez-toc-section\" id=\"Dignity_And_Voice_Remain_Limited\"><\/span>Dignity And Voice Remain Limited<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Arbitrary account deactivations can end a worker\u2019s livelihood overnight with little recourse.<\/li>\n\n\n\n<li>Grievance mechanisms are frequently platform-managed and opaque.<\/li>\n\n\n\n<li>Customers or authorities sometimes treat riders with suspicion or disrespect.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Despite powering a vital part of the urban economy, many feel marginalized but are essential yet undervalued.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"additional-vulnerabilities\"><span class=\"ez-toc-section\" id=\"Additional_Vulnerabilities\"><\/span>Additional Vulnerabilities<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Absence of health coverage<\/li>\n\n\n\n<li>No pension contributions<\/li>\n\n\n\n<li>Lack of maternity benefits<\/li>\n\n\n\n<li>Occupational hazards borne individually<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Long-term financial security feels distant for most.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"what-needs-to-change\"><span class=\"ez-toc-section\" id=\"What_Needs_To_Change_A_Roadmap_For_Reform\"><\/span>What Needs To Change: A Roadmap For Reform<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Fixing this requires actions from all sides like government, platforms, and workers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"stronger-policy-backbone\"><span class=\"ez-toc-section\" id=\"Stronger_Policy_Backbone\"><\/span>Stronger Policy Backbone<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Universal registration is the starting point. The E-SHRAM portal, with its aggregator module launched in December 2024, is building a national database. Union Budget 2025 promised identity cards, mandatory registration pushes, and health cover under Ayushman Bharat (PM-JAY) for up to one crore gig workers. Platforms should be required to enroll workers automatically. Minimum per-task earnings, transparent algorithms, and portable benefits (that move with the worker) would bring stability.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"platform-responsibility\"><span class=\"ez-toc-section\" id=\"Platform_Responsibility\"><\/span>Platform Responsibility<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Companies must contribute meaningfully. The Code on Social Security, 2020, already envisions aggregators paying 1-2% of turnover (capped at 5% of payouts to workers) into a Social Security Fund.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Contribution Aspect<\/th><th>Details<\/th><\/tr><\/thead><tbody><tr><td>Aggregator Contribution<\/td><td>1\u20132% of turnover<\/td><\/tr><tr><td>Cap Limit<\/td><td>5% of payouts to workers<\/td><\/tr><tr><td>Fund Usage<\/td><td>Insurance, health schemes, old-age support<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">This fund can finance accident insurance, health schemes, and old-age support. Transparent grievance redressal, safety training, and fair deactivation policies are non-negotiable. Some platforms have begun offering voluntary insurance, but mandatory, uniform standards are needed.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"legal-clarity-and-worker-voice\"><span class=\"ez-toc-section\" id=\"Legal_Clarity_And_Worker_Voice\"><\/span>Legal Clarity And Worker Voice<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Recognition of gig workers as a distinct category<\/li>\n\n\n\n<li>Tripartite model (government, platforms, workers)<\/li>\n\n\n\n<li>Encouragement of collective bargaining<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Rajasthan\u2019s 2023 Platform-Based Gig Workers Act was pioneering. Karnataka\u2019s 2025 law goes further, creating a dedicated welfare board, fund, and even the right to refuse tasks. Other states like Telangana and Jharkhand are following. These experiments offer practical lessons for the Centre.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"learning-from-the-world\"><span class=\"ez-toc-section\" id=\"Learning_From_The_World\"><\/span>Learning From The World<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">California\u2019s AB5 law and the EU\u2019s platform work directive push for reclassification where control is high. India doesn\u2019t need to copy them wholesale but the principle of protecting workers without stifling innovation also applies here.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"code-on-social-security-heading\"><span class=\"ez-toc-section\" id=\"The_Code_On_Social_Security_2020_A_Milestone_With_Room_For_Improvement\"><\/span>The Code On Social Security, 2020: A Milestone With Room For Improvement<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Passed as part of the four Labour Codes, the Code on Social Security, 2020, consolidated nine earlier laws into a unified framework. It became effective nationwide from November 21, 2025. For the first time, it explicitly recognizes gig and platform workers and authorizes schemes covering key risks. A Social Security Fund, supported by contributions from government, employers\/aggregators, and potentially workers, aims to sustain these benefits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Draft rules released in December 2025 are under consultation, with provisions for unique identities and eligibility thresholds (such as minimum days worked on a platform). The four Labour Codes overall seek to modernize regulation while extending coverage to non-traditional work arrangements.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"challenges-and-gaps\"><span class=\"ez-toc-section\" id=\"Challenges_And_Gaps\"><\/span>Challenges And Gaps<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Many provisions are enabling rather than immediately enforceable<\/li>\n\n\n\n<li>Dependence on detailed schemes and state-level implementation<\/li>\n\n\n\n<li>Funding mechanisms need strengthening<\/li>\n\n\n\n<li>Compliance monitoring gaps<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">However challenges persists, Many provisions are enabling rather than immediately enforceable, depending on detailed schemes and state-level implementation. Funding mechanisms and compliance monitoring need strengthening to move from intent to impact.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Renowned leader Raghav Chadha has welcomed aspects of the draft rules as a \u201csmall but important win\u201d for legal recognition and protection, while continuing to stress the need for concrete, guaranteed benefits rather than reliance on future executive actions. His parliamentary interventions have highlighted gaps in accountability and the risk that symbolic recognition may not translate into tangible security on the ground.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"contrasting-old-and-new-frameworks\"><span class=\"ez-toc-section\" id=\"Contrasting_Old_And_New_Frameworks\"><\/span>Contrasting Old And New Frameworks<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Traditional labour laws primarily targeted the organized sector, leaving informal and gig workers largely outside their scope. There was no specific definition or targeted welfare for platform-based work. The new Code adopts a more inclusive, flexible approach suited to digital realities. It promotes portability of benefits through tools like Aadhaar-linked Universal Account Numbers and broadens the definition of who qualifies for support.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Yet the shift is not complete. The framework still leans heavily on scheme-based delivery rather than automatic, enforceable rights. Administrative coordination between central and state agencies remains crucial for effective rollout. Critics argue that without robust enforcement, the Code risks becoming another well-intentioned but under-delivered reform.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"key-differences-old-vs-new-framework\"><span class=\"ez-toc-section\" id=\"Key_Differences_Old_Vs_New_Framework\"><\/span>Key Differences: Old Vs New Framework<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Aspect<\/th><th>Traditional Labour Laws<\/th><th>New Labour Code Approach<\/th><\/tr><\/thead><tbody><tr><td>Coverage<\/td><td>Focused on organized sector<\/td><td>Includes gig and informal workers<\/td><\/tr><tr><td>Worker Definition<\/td><td>No specific recognition of gig workers<\/td><td>Broader and more inclusive definitions<\/td><\/tr><tr><td>Benefits<\/td><td>Limited and non-portable<\/td><td>Portable benefits via Aadhaar-linked systems<\/td><\/tr><tr><td>Implementation<\/td><td>Rights-based enforcement<\/td><td>Scheme-based delivery<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"judicial-and-global-perspectives\"><span class=\"ez-toc-section\" id=\"Judicial_And_Global_Perspectives\"><\/span>Judicial And Global Perspectives<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Courts worldwide are increasingly examining the real nature of platform-workers relationships and starting focusing on control exercised through algorithms, economic dependence, and supervision. In some jurisdictions, rulings have reclassified workers as employees where dependency is high, extending full labour protections.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">India\u2019s Supreme Court has not yet delivered a definitive verdict on gig worker status, but lower courts and tribunals are seeing more cases. Future judgments could interpret the Code expansively, considering the practical realities of algorithmic management. This evolving jurisprudence may push platforms toward greater responsibility while preserving innovation.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"global-legal-developments\"><span class=\"ez-toc-section\" id=\"Global_Legal_Developments\"><\/span>Global Legal Developments<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>California\u2019s AB5 law established a strict test for classifying workers as independent contractors.<\/li>\n\n\n\n<li>The European Union\u2019s Platform Work Directive (effective 2024, with member states implementing by 2026) introduces a rebuttable presumption of employment status.<\/li>\n\n\n\n<li>Transparency rules for algorithms and protections against unfair treatment are gaining importance globally.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Internationally, lessons abound. California\u2019s AB5 law established a strict test for classifying workers as independent contractors. The European Union\u2019s Platform Work Directive (effective 2024, with member states implementing by 2026) introduces a rebuttable presumption of employment status based on control criteria, alongside transparency rules for algorithms and protections against unfair treatment. India need not adopt these models verbatim, but they illustrate ways to balance worker safeguards with the flexibility and growth potential of platform economies.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"towards-an-equitable-digital-future\"><span class=\"ez-toc-section\" id=\"Towards_An_Equitable_Digital_Future\"><\/span>Towards An Equitable Digital Future<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The gig economy offers genuine opportunities in a young, urbanizing India. It provides entry-level work, supplementary income, and entrepreneurial avenues for millions. Yet unchecked precariousness threatens long-term sustainability. Workers powering convenience for millions deserve dignity, safety, and basic security in return.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"recent-developments-and-progress\"><span class=\"ez-toc-section\" id=\"Recent_Developments_And_Progress\"><\/span>Recent Developments And Progress<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Labour Codes\u2019 rollout<\/li>\n\n\n\n<li>Budget 2025 announcements on registration and health cover<\/li>\n\n\n\n<li>E-SHRAM integration<\/li>\n\n\n\n<li>Pioneering state laws<\/li>\n\n\n\n<li>Increased public discourse and worker strikes<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Recent developments show momentum: the Labour Codes\u2019 rollout, Budget 2025 announcements on registration and health cover, E-SHRAM integration, and pioneering state laws. Strikes and public discourse have also spotlighted worker concerns, prompting dialogue and some policy adjustments.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"key-reforms-needed\"><span class=\"ez-toc-section\" id=\"Key_Reforms_Needed\"><\/span>Key Reforms Needed<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Full implementation of welfare schemes<\/li>\n\n\n\n<li>Strict yet practical compliance by platforms<\/li>\n\n\n\n<li>Widespread worker registration drives<\/li>\n\n\n\n<li>Transparent algorithmic management<\/li>\n\n\n\n<li>Portable benefits across platforms<\/li>\n\n\n\n<li>Regular tripartite consultations<\/li>\n\n\n\n<li>Minimum per-task or per-hour earnings<\/li>\n\n\n\n<li>Compensation for waiting time<\/li>\n\n\n\n<li>Occupational safety standards<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">True progress requires sustained action\u2014full implementation of schemes, strict yet practical compliance by platforms, widespread registration drives, transparent algorithms, portable benefits, and regular tripartite consultations. Minimum per-task or per-hour earnings, compensation for waiting time, and occupational safety standards could address immediate pains without stifling the sector.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"conclusion\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Flexibility in work should enrich lives, not undermine them. As India embraces its digital transformation, ensuring gig workers share equitably in the gains is both a moral imperative and sound economics. Platforms that profit, the state that regulates, and the public that benefits all share responsibility. By bridging the legal and welfare gap thoughtfully, India can build a gig economy that is innovative, inclusive, and humane\u2014one where workers like Amit are not just surviving the ride, but thriving with security and respect.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Written By:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Vansh Tanwar<\/strong>, 4th Year Law Student MAIMS, GGSIPU Delhi. &amp;<\/li>\n\n\n\n<li><strong>Era Bharadwaj,<\/strong> 4th Year Law Student MAIMS, GGSIPU Delhi.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Introduction In the crowded lanes of urban India, millions of young men and women weave through traffic on scooters and motorcycles, delivering food, groceries, or ferrying passengers at all hours. Amit, a 27-year-old from a small town in Bihar now working in Delhi\u2019s outskirts. He starts his day before dawn with a quick-commerce app, chasing<\/p>\n","protected":false},"author":1339,"featured_media":21402,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_bbp_topic_count":0,"_bbp_reply_count":0,"_bbp_total_topic_count":0,"_bbp_total_reply_count":0,"_bbp_voice_count":0,"_bbp_anonymous_reply_count":0,"_bbp_topic_count_hidden":0,"_bbp_reply_count_hidden":0,"_bbp_forum_subforum_count":0,"two_page_speed":[],"_jetpack_memberships_contains_paid_content":false,"_joinchat":[],"footnotes":""},"categories":[4766],"tags":[774,28],"class_list":["post-21403","post","type-post","status-publish","format-standard","has-post-thumbnail","category-labour-law","tag-labour-law","tag-top-news"],"jetpack_featured_media_url":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-content\/uploads\/2026\/04\/images.jpeg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/posts\/21403","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/users\/1339"}],"replies":[{"embeddable":true,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/comments?post=21403"}],"version-history":[{"count":0,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/posts\/21403\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/media\/21402"}],"wp:attachment":[{"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/media?parent=21403"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/categories?post=21403"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.legalserviceindia.com\/Legal-Articles\/wp-json\/wp\/v2\/tags?post=21403"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}