NEW DELHI: In a major initiative to bolster social security for gig workers, the Ministry of Labour and Employment is crafting a transaction-based pension policy, which will mandate aggregators to contribute 1-2% of their annual turnover to this scheme. This effort aims to support approximately one crore platform workers throughout India, as stated by a government source on Friday.
Under this program, each gig worker will be allocated a universal account number, which will facilitate deductions based on wage transactions across various platforms. Employers will be required to contribute on a per-bill basis. “Discussions with state governments are in progress, and the scheme is set to be submitted for cabinet approval shortly,” the source mentioned.
This initiative tackles the complexity of establishing employer accountability due to gig workers working with multiple platforms. It aligns with the e-Shram portal, introduced in August 2021 to register workers in the unorganised sector. By January 27, 30.6 crore workers had registered on the platform, which incorporates 12 social security schemes.
According to a report by NITI Aayog in 2022, there were 77 lakh gig workers in India in 2020-21, with the figure now surpassing one crore. Presently, 47% of gig jobs fall under the medium-skilled category, 22% are high-skilled, and 31% are low-skilled.
The Social Security Code of 2020 suggested the establishment of a National Social Security Board to propose schemes for gig workers. Aggregators may be required to contribute 1-2% of their annual turnover, capped at 5% of total payments made to gig workers.
In addition, the government intends to extend coverage for gig workers under the PMJAY scheme for health insurance. This policy is expected to offer essential financial stability to those engaged in gig work.
