Karnataka releases draft Bill to protect platform-based gig workers

Among the objectives of the proposed Bill according to the Karnataka labour department is “to protect the rights of platform based Gig workers, to place obligations on aggregators in relation to social security, occupational health and safety…” The Bill also intends to bring “transparency in automated monitoring and decision-making systems, to provide dispute resolution mechanisms, to establish a welfare board and create a welfare fund for platform based Gig workers, to register platform based Gig workers and aggregators in the state”.

The proposed Bill for the welfare of gig workers was a promise made by Congress leader Rahul Gandhi ahead of the Karnataka Assembly elections 2023. The Karnataka Bill follows in the footsteps of a similar law legislated in Rajasthan.

There are nearly 2 lakh gig workers in Bengaluru alone who are attached to platforms like Zomato, Porter, Swiggy, Dunzo, etc.

Among the chief proposals in the Bill is the creation of a welfare board for gig workers comprising government officials including the Karnataka labour minister, two officials from aggregators, two gig workers, and a civil society member nominated by the state. Under the proposed law, a platform based gig worker will have the right to register with the state welfare board on being onboarded on any platform and will be provided with a Unique ID applicable across all platforms.

They will “have access to general and specific social security schemes based on contributions made by them as may be notified by the State Government” and “access a grievance redressal mechanism,” according to the proposed law.

The Bill proposes greater autonomy to the gig workers to terminate contracts and resist being over worked by employers. “A platform based gig worker may refuse or reject, with reasonable cause, a specified number of gig work requests per week, as shall be provided in the contractual agreement between the platform based gig worker and the aggregator, without any adverse consequences,” says one of the clauses in the proposed Bill.

The Bill empowers the state to review the framework of worker contracts. “The state government shall publish sector specific guidelines for contracts from time to time. The state government may review contract templates sent by aggregators, on request, in order to ensure fair contracts with platform based Gig workers,” the Bill states. “The aggregator must provide and maintain, as far as is reasonably practicable, a working environment that is safe and without risk to the health of the platform based gig worker,” it adds.

A welfare fund called “The Karnataka Gig Worker’s Social Security and Welfare Fund” has been proposed in the Bill with funds from a welfare fee collected from aggregators, which is a proposed percentage of the income of the worker or a percentage of the turnover of a firm in the state. The welfare fund will also have state and worker contributions.

The law has proposed penalties on aggregators violating the conditions of work laid down under the Bill with a Rs 5,000 basic penalty that can extend up to Rs 1 lakh.