July 22, 2023
Jaipur, Rajasthan: In a significant step towards guaranteeing social security to gig workers, the Rajasthan government has tabled the Rajasthan Platform Based Gig Workers (registration and welfare) Bill, 2023, making it the first Indian state to enact such groundbreaking legislation. The bill aims to empower gig workers and provide them with a unique identification that will be uniformly applicable across all platforms, granting them access to a host of social security benefits and representation in decision-making processes concerning their welfare.
The proposed bill outlines stringent provisions to ensure compliance from aggregators, the digital platforms connecting gig workers to job opportunities. Heavy monetary penalties will be imposed on aggregators failing to abide by the bill’s provisions. A penalty of ₹5 lakh will be levied for the first offense, while subsequent offenses will incur a substantial ₹50 lakh fine.
A key feature of the bill is the establishment of the “Rajasthan Platform Based Gig Workers Welfare Board,” which will act as a registration hub for all gig workers in the state, encompassing the entire range of aggregators operating within Rajasthan. This registration will facilitate the deduction of a welfare fee, to be integrated into the aggregator app.
The welfare fee deduction mechanism is envisioned as a means to provide gig workers with social security benefits. Part of the welfare fee will be contributed by aggregators on a transactional basis or as instructed by the Rajasthan government. This progressive initiative aims to enhance the financial security and overall well-being of gig workers, who play a pivotal role in the emerging gig economy.
“The unique identification provided under this bill will unlock numerous social security programs for gig workers. They will have a voice and representation in decision-making processes that affect their lives,” stated a government official.
The introduction of this bill comes at a time when the gig economy in India is rapidly expanding. Projections indicate that by 2030, there will be approximately 23.5 million gig workers, signifying their crucial contribution to the nation’s economic growth.
While the Code of Social Security (2020) acknowledges the existence of gig workers and mandates employers to provide social security benefits, the specific rules for implementation are yet to be framed. In contrast, the Rajasthan Platform Based Gig Workers Bill takes a proactive stance, striving to ensure that gig workers are not left behind and have access to the support they deserve.
The Rajasthan government envisions a robust monitoring mechanism to ensure aggregator compliance with the bill’s provisions, effectively safeguarding the rights and welfare of gig workers. The state’s pioneering approach in addressing gig worker rights is expected to inspire other regions to adopt similar measures.
The introduction of this bill marks a milestone in recognizing the importance of gig workers and underscores the commitment of the Rajasthan government towards building an inclusive and progressive economy for all.