India Needs a Balanced Framework for Gig Workers

India’s gig and platform economy is projected to become a significant employment generator. A recent VV Giri National Labour Institute (VVGNLI) study estimates that the sector may employ 61 million workers by 2047, comprising 15% of the non-agricultural workforce.

What is a Gig Worker?

A gig worker is an individual who undertakes short-term, flexible jobs, often facilitated by digital platforms, without a traditional employer-employee relationship. These workers are typically independent contractors, providing services for various clients on a project-by-project or task-by-task basis. Examples include ride-sharing drivers, food delivery workers, freelance writers, and graphic designers. 

Key Challenges

• Gig workers lack formal employment status, falling between contract and permanent workers.
• Excluded from key welfare benefits:
  • No access to health insurance, paid leave, or provident fund.
• Often worse off than informal workers under the Unorganised Workers Social Security Act.
• Surveys since 2020 show:
  • 1 in 7 gig workers earn below minimum wage.
  • Precarious working conditions are common.

e-Shram Portal

• Launched by: Ministry of Labour & Employment, Government of India
• Launch Date: August 26, 2021
• Objective: To build a National Database of Unorganised Workers (NDUW) to ensure delivery of social security schemes
• Target Group: 38 crore unorganised workers including migrant labourers, gig workers, street vendors, construction workers

Key Features of the e-Shram Portal

• Universal Account Number (UAN): Unique 12-digit number for each worker
• e-Shram Card: Identity + Portability + Access to multiple government schemes
• Aadhaar-linked Registration: Single sign-up for access to central benefits
• Data Captured: Name, occupation, skill set, income, education, etc.
• Scheme Linkage: Integrated with major central schemes like:
  • PM-SYM (Pension Yojana)
  • PM-JAY (Ayushman Bharat)
  • Future linking planned with ESI, EPFO

Objectives

• Provide universal social protection for informal workers
• Enable Direct Benefit Transfer (DBT) across schemes
• Create a live database to guide national policy and crisis relief