GigVista

Kaleidoscopic Confluence: Navigating the Gig Economy's Transformative Tides

Synopsis: The Karnataka government has published the draft of the Karnataka Platform-based Gig Workers (Social Security and Welfare) Bill, making it the second Indian State to initiate such a move after Rajasthan. The Bill seeks to regulate the social security and welfare of platform-based gig workers in the State, addressing issues like arbitrary terminations, payment deductions, and lack of grievance redressal mechanisms.
Monday, July 15, 2024
GIG
Source : ContentFactory

In the kaleidoscopic confluence of the gig economy, a seismic shift is underway, as the Karnataka government takes decisive steps to navigate the transformative tides impacting the lives of platform-based gig workers. Amidst the burgeoning rise of aggregator platforms like Swiggy, Zomato, Uber, Ola, and a host of others, the State has published the draft of the Karnataka Platform-based Gig Workers (Social Security and Welfare) Bill, making it the second Indian State to initiate such a progressive move, following in the footsteps of Rajasthan.

The Bill, set to be placed in the upcoming monsoon session of the Karnataka Assembly, aims to be a beacon of hope for the estimated 2 lakh gig workers who toil within the bustling confines of Bengaluru alone. These individuals, who form the backbone of the gig economy, have long grappled with the challenges of navigating a landscape that has veered away from traditional employer-employee relationships.

Recognizing the need for a comprehensive legal framework, the Karnataka draft Bill seeks to redefine the social security and welfare landscape for these platform-based workers. Departing from the conventional mold, the aggregators have often onboarded gig workers as partners or similar terminologies, effectively rendering them independent contractors and leaving them outside the protective ambit of labour laws.

The draft Bill, introduced as a rights-based measure, aims to address this imbalance by placing obligations on aggregators to ensure the social security, occupational health, and safety of their workforce. One of the key highlights is the provision to protect gig workers from arbitrary dismissals, a long-standing concern. The contract between the aggregator and the worker must now contain an exhaustive list of grounds for termination, and the aggregator must provide valid reasons in writing and a 14-day prior notice before severing the relationship.

Addressing another pain point, the draft mandates aggregators to make payments to gig workers at least every week and to inform them about any deductions from their earnings. Additionally, workers will have the right to refuse a specified number of gigs per week with reasonable cause without facing adverse consequences.

Recognizing the need for a comprehensive social security net, the Karnataka Bill seeks to emulate the Rajasthan model by establishing a welfare board and a social security and welfare fund. This fund, to be financed through a welfare fee levied on transactions or the overall turnover of the companies, as well as contributions from the Union and State governments, will serve as a vital lifeline for gig workers.

The draft also emphasizes the importance of transparency, mandating that contracts be written in simple language and that any changes be notified to the worker at least 14 days in advance, allowing them to terminate the contract without penalty. Furthermore, the aggregators must provide reasonable and safe working conditions, although the specifics of what constitutes reasonable remain to be defined.

As the gig economy continues to reshape the labour landscape, the Karnataka Bill stands as a testament to the growing recognition of the need for robust legal and social security frameworks. With Rajasthan's pioneering efforts and the Haryana and Telangana governments also exploring similar initiatives, the tide is turning, and the rights and welfare of gig workers are finally taking center stage.