Background and Context

India's gig economy has witnessed exponential growth, transforming the nature of work in the digital era. With an estimated 12 million gig workers as of 2024-25, projected to nearly double to 23.5 million by 2029-30, the need for dedicated welfare and protection mechanisms has become paramount.

Key Characteristics of Gig Work:

  • Work performed outside traditional employer-employee relationship
  • Platform-based work arrangements
  • Flexibility in working hours and location
  • Often characterized by lack of social security benefits

Karnataka's Landmark Initiative

Integrated Grievance Redressal System

  • Portal: Integrated Public Grievance Redressal System (IPGRS)
  • Scope: Complaints regarding pay, working conditions, and platform disputes
  • Features: Automated routing to Internal Dispute Resolution Committees (IDRC)
  • Monitoring: Government oversight ensures time-bound resolution

Legislative Framework

Karnataka Platform-Based Gig Workers (Social Security and Welfare) Act, 2025

Key provisions:

  • Mandatory IDRC Establishment: Aggregator platforms must establish Internal Dispute Resolution Committees
  • Welfare Contribution: 1% contribution from aggregator platforms (subject to cap)
  • Time-bound Framework: Grievances must be resolved within stipulated timeframes

Government Initiatives for Gig Workers

Central Government Initiatives

  • Code on Social Security, 2020: Provides framework for social security benefits to gig workers
  • e-Shram Portal: National database for unorganized workers including gig workers
  • Ayushman Bharat (AB-PMJAY): Health insurance coverage for eligible workers

State-Level Initiatives

  • Karnataka Platform-Based Gig Workers (Social Security and Welfare) Act, 2025
  • Rajasthan Platform Based Gig Workers (Registration and Welfare) Act, 2023

Constitutional and Legal Dimensions

  • Directive Principles of State Policy: Article 43 – State shall endeavour to secure just and humane conditions of work
  • Fundamental Rights: Article 21 – Right to live with dignity extends to working conditions
  • Code on Social Security, 2020: Defines gig workers and platform workers under Chapter IX
  • Four Labour Codes: Consolidation of 29 central labour laws including provisions for non-standard work

Significance for India

  1. Formalinizing Gig Economy: Brings accountability to aggregator platforms
  2. Worker Protection: Addresses exploitative practices and ensures minimum standards
  3. Social Security: Enables access to welfare schemes and benefits
  4. Model for Other States: Provides template for grievance redressal mechanisms nationwide
  5. Inclusive Growth: Ensures benefits of platform economy reach workers

Challenges Ahead

  • Enforcement across multiple platforms
  • Coordination between state and central mechanisms
  • Defining 'gig worker' vs 'employee' status
  • Ensuring compliance from all aggregator platforms
  • Digital literacy among gig workers for portal access