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Reportedly, these platforms will pay the fee in the range of 1% to 5%, based on the commission paid to gig workers, with higher rates for platforms generating higher revenues
The report further said that the state government plans to enact the Bill through an ordinance route
Once approved by the Governor, these rules will be framed and placed in the public domain for stakeholder feedback before implementation
The Karnataka government is reportedly planning to introduce a differential fee on app-based aggregators to fund welfare programs for gig workers.
An ET report said that these platforms will pay the fee in the range of 1% to 5%, based on the commission paid to gig workers, with higher rates for platforms generating higher revenues.
This initiative is part of the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Bill 2024, which aims to provide social security, occupational health, safety, and grievance redressal mechanisms for gig workers.
The report further said that the state government plans to enact the Bill through an ordinance route.
Once approved by the Governor, these rules will be framed and placed in the public domain for stakeholder feedback before implementation.
“We will give a month’s time for stakeholders to give their suggestions. We will study and incorporate necessary suggestions,” an official was quoted as saying in the report.
Reportedly, the levy will take at least six months to be rolled out after rules are finalised, and a software system for payment verification will be developed.
It is pertinent to note that Bengaluru alone has around 2 Lakh gig workers, making the need for such protections in this rapidly growing sector.
Karnataka’s initiative follows Rajasthan’s landmark law passed in July 2023, which was the first in India to introduce social security measures for gig workers.
Reportedly, Telangana has also collected a copy of Karnataka’s draft to explore a similar law in the state.
The Centre is also doubling down on initiatives around the welfare of the gig workers. For instance, in the Budget 2025, the government mandated registering gig workers on the e-Shram portal, following which at least 70,000 gig workers have reportedly been registered with the e-Shram portal.
Meanwhile, the central government is also planning to introduce a comprehensive social security scheme for platform-based gig workers. Moreover, the union government is also planning to introduce a pension scheme, requiring platform aggregators to contribute 2% of each worker’s income.
