The Labour Ministry on Thursday convened a meeting with representatives from various platform workers’ associations to explore avenues for providing social security protection to gig workers
The central government, while acknowledging the distinct nature of gig or platform work, will not place these workers under the traditional employer-employee framework. Instead, it aims to specifically define their relationship with platforms to address social security concerns, as per a source in the Ministry of Labour and Employment.
These workers, who provide services via online platforms—such as drivers for cab services like Uber and Rapido, or delivery partners for Swiggy and Zomato—are recognised as gig or platform workers. The new definition will cater to their unique employment status while ensuring access to necessary protections, added the source.
The Labour Ministry on Thursday convened a meeting with representatives from various platform workers’ associations to explore avenues for providing social security protection to gig workers. The discussions are part of the government’s efforts to establish relevant provisions by next year. “Health security and social security were the biggest concerns brought to the table,” revealed an official familiar with the discussions.
During the meeting, Labour Minister Mansukh Mandaviya stressed the importance of incorporating feedback directly from platform workers' associations to craft robust and comprehensive mechanisms for their social security, according to an official release. The Minister said the government is already exploring various ways to integrate these workers into existing social security schemes.
The ministry has set up a committee to create a framework that will ensure social security and welfare benefits for gig and platform workers. This committee will collect input from all relevant stakeholders to develop a well-rounded approach. Sources from the meeting revealed that various options were considered, including deducting a small contribution per transaction or imposing a cess, to fund social security benefits such as health insurance and pensions for these workers.
Aggregators have been instructed to register the workers on the e-Shram portal, which will generate unique IDs for them, offering insights into the true size of this particular workforce in India. According to Niti Aayog’s June 2022 report, titled India Booming Gig and Platform Economy, there were 7.7 million gig workers in 2020-21, and this number is expected to surge to 23.5 million by 2029-30.
Yet, a source within the Labour Ministry has hinted that the current estimates may not fully reflect the actual number of gig workers, suggesting that the real figure could be much higher than projected. “This is why we need to proactively work on extending our benefits to these workers,” says the source, adding that any new provisions for ensuring their social security will be framed under the Code on Social Security, 2020.