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Gig workers and There provisions. (UPSC-RAS)

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Gig worker-

  • a person who performs work or participates in a work arrangement and earns from such activities outside of traditional employer-employee relationship.

Example -

  • Rideshare driving, food delivery, freelance design, consulting, short-term contracts, and platform-based tasks.
Differences between Traditional and gig worker

Aspect

Gig Worker

Traditional Employee

Employment relationship

Independent contractor; hired per task or project

Ongoing employment with a single employer

Schedule

Sets own hours; works on demand

Fixed or employer-set hours

Pay structure

Per task, per delivery, per project, or hourly (self-invoiced)

Salary or hourly wage, regular paycheck

Benefits

Generally none provided (no health insurance, paid leave, retirement contributions)

Often includes benefits (health, PTO, retirement plans)

Job security

No guaranteed work; income fluctuates

Greater stability; protections against sudden termination

Taxes

Responsible for own tax withholding and self-employment taxes

Employer withholds income and payroll taxes

Control

High autonomy over how work is done

Employer directs tasks, methods, and standards

Equipment/tools

Often provides own (vehicle, laptop, etc.)

Typically provided by employer

Number of gig worker in India according NITI AYOG 

1. The gig workforce is projected to expand to 2.35 crore (23.5 million) workers by 2030, up from roughly 77 lakh (7.7 million) workers in medium-to-low-skilled jobs in 2020–2021.

2. An estimated 2.25 lakh to 2.75 lakh platform-based gig workers operate in the state, engaging with popular platforms like Uber, Zomato, and Amazon.

Rajasthan’s key initiative for gig worker

The Rajasthan Platform Based Gig Workers (Registration and Welfare) Act, 2023.

  • It was the first law in India specifically regulating platform-based gig workers and providing for their welfare.
  • Gig workers often work outside the traditional employer-employee model and lack social security.
  • The law aims to give them registration, welfare protection, and grievance redressal.
  • It also seeks to make platform companies more accountable.
Other initiative of Rajasthan government

01.

Welfare Board  Rajasthan Platform Based Gig Workers Welfare Board is to be set up.
02. Registration Gig workers, aggregators, and primary employers are to be registered.
03. Welfare Fund A social security and welfare fund is created for gig workers.
04. Cess Welfare cess is linked to platform transactions.
05. Benefits Accident cover, health insurance, maternity, gratuity, pension, EPF, ESIC, scholarships, etc.
06. Grievance redressal Workers can file complaints regarding rights, payments, or benefits.

Indian government initiative

Code on Social Security, 2020, which for the first time defines gig workers and platform workers and brings them under a social security framework.

e-Shram The government also launched the e-Shram portal in 2021 as a national database for unorganised workers, including gig and platform workers.

Ayushman Bharat–PMJAY In the Union Budget 2025–26, the government announced registration of gig workers on e-Shram, identity cards, and health cover.

Welfare fund - Aggregators contribute 1–2% of annual turnover, capped at 5% of payments to workers.

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