Karnataka Gig Workers Bill under scanner as Swiggy, Zepto reach HC: What is the Act? Explained
Several platform aggregators, along with the Internet and Mobile Association of India (IAMAI), have moved the Karnataka High Court challenging the constitutional validity of the
Several platform aggregators, along with the Internet and Mobile Association of India (IAMAI), have moved the Karnataka High Court challenging the constitutional validity of the Karnataka Platform Based Gig Workers (Social Security and Welfare) Act, 2025, as well as the rules framed under the legislation. In their writ petition, IAMAI, Eternal Ltd, Zepto, Swiggy, Urban Company, and Valmo Transportation have also sought to set aside a series of notices issued by the Chief Executive Officer under the Act, according to a report by Bar and Bench. The notices require platform companies to comply with various statutory obligations, including establishing Internal Dispute Resolution Committees (IDRCs), paying welfare fees, and submitting prescribed information. What is Karnataka Platform Based Gig Workers Bill, 2025? Earlier in 2025, the Karnataka Legislative Assembly passed the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Bill, 2025, to protect the rights and improve the welfare of workers engaged through digital platforms. The legislation seeks to establish a formal framework for providing social security benefits and regulating the relationship between gig workers and platform aggregators. A key feature of the legislation is the establishment of a Welfare Board, which will be responsible for registering gig workers and aggregators, formulating social security schemes, overseeing their implementation, and ensuring effective monitoring of welfare measures. The Bill also provides for the creation of a Social Security and Welfare Fund to finance these initiatives.
The Fund will receive contributions from welfare fees levied on transactions between gig workers and aggregators or on the overall turnover of platform companies, along with financial support from the Central and State governments. Additionally, aggregators will be required to register gig workers, disclose the terms and conditions of work, and explain how automated systems and algorithms influence workers' assignments and employment conditions. Karnataka joins Rajasthan and Bihar, which enacted similar laws in 2023 and 2025, respectively. How is a gig worker defined? The Code on Social Security, 2020, defines a gig worker as a person who performs work outside the traditional employer-employee relationship. Gig workers can broadly be divided into platform workers and non-platform workers. Platform workers obtain assignments through digital platforms and mobile applications such as Ola, Uber, Zomato, Swiggy, and Urban Company. Non-platform gig workers, on the other hand, generally include casual wage workers and self-employed individuals in conventional sectors who work either part-time or full-time without relying on digital platforms. Rights of platform-based gig workers A platform-based gig worker shall have the right to be registered with the Board on being onboarded on any platform, irrespective of the duration of the work, and be provided a Unique ID applicable across all platforms; have access to general and specific social security schemes based on contributions made by them and also the minimum number of transactions or Gig work undertaken by the Gig worker with any aggregator or platform in a quarter as may be notified by the Board; and Access a grievance redressal mechanism as specified in section 22: Provided that, nothing in this Act shall affect any benefit or protection accorded to platform-based gig workers under any other law for the time being in force.
The BriefWire