Tuesday, August 19, 2025
HomeCityK’taka Assembly Passes Bill to Protect Gig Workers, Levies 1%-5% Fee on...

K’taka Assembly Passes Bill to Protect Gig Workers, Levies 1%-5% Fee on Aggregators

Bengaluru
The Karnataka Legislative Assembly on Tuesday passed the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Bill, 2025, aimed at safeguarding the rights of gig workers, setting up a welfare fund, and bringing accountability to online aggregators.

Labour Minister Santosh Lad, while piloting the Bill, said a welfare fee of 1% to 5% would be imposed on payouts made to workers during each transaction, depending on the category of aggregator. The measure seeks to fund social security and improve working conditions for gig workers.

According to NITI Aayog, India could have 23.5 million gig workers by 2030. Karnataka currently has around four lakh gig workers, both part- and full-time, though only about 10,500 have registered so far. Mr. Lad highlighted health issues faced by workers due to long hours, vehicular strain, and pollution, adding that some earn as little as ₹1,800 despite working up to 16 hours a day.

The Bill provides for a welfare board to oversee registration of workers and aggregators, fee collection, dispute resolution, and implementation of welfare measures. Benefits may include health cards, safety gear, and social security support.

Funding will come from aggregator contributions, government aid, donations, and transfers. The law caps administrative expenses at 5% of the fund to ensure maximum benefit reaches workers.

Aggregators covered under the law include ride-sharing apps, food and grocery delivery platforms, logistics, e-marketplaces, healthcare, travel, hospitality, and digital media services.

Replacing an earlier Ordinance, the Bill marks Karnataka as one of the first States to legally recognise and extend welfare protections to the growing gig workforce.

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -
Google search engine

Most Popular

Recent Comments