India's gig economy is on the brink of a significant transformation as the government intensifies efforts to introduce social security schemes for its rapidly expanding workforce. With projections indicating that the number of gig workers could reach 2.5 crore by the end of the decade, the government is actively engaging with fund managers to operationalize these schemes.
Government's Strategic Initiatives
Ashutosh A T Pednekar, Joint Secretary and Director General (Labour Welfare), highlighted the government's commitment at the 'Stakeholders Consultation on Opportunities and Challenges of Gig and Platform Workers in India'. The event, organized by FICCI-AIOE and the International Labour Organization (ILO), underscored the potential of the gig economy to absorb a significant portion of the workforce.
"A huge part of our workforce is now getting absorbed in the gig and platform economy, and the potential is immense," said Pednekar.
Operationalizing Social Security
The government has already notified the Code on Social Security under the new labour code as of May 8. The focus is now on operationalizing this code through mechanisms like the National Social Security Board for gig and platform workers. This board will address the needs of unorganized workers, including accident and maternity benefits.
The Role of the e-Shram Portal
The e-Shram portal is poised to be a pivotal platform in this initiative. It will maintain a real-time database of gig workers, enabling efficient distribution of benefits. Pednekar likened its potential impact to that of UPI and Aadhaar in transforming India's digital landscape.
| Metric | Current | Projected 2030 |
|---|---|---|
| Gig Workers | 1 crore | 2.5 crore |
Global Perspectives
Michiko Miyamoto, Director of ILO DWT for South Asia and Country Office for India, emphasized the rapid integration of platform work into mainstream economic activity. She noted the opportunities for income generation and entrepreneurship that the platform economy presents, aligning with India's broader growth vision.
Next Steps
The government aims to finalize these social security schemes and ensure their implementation by engaging with various stakeholders. The next milestone in this initiative will be the update of workforce data on the e-Shram portal by June 22.
