Government May Ease Social Security Rules to Better Include Gig and Platform Workers

The Union government is actively reviewing public suggestions on the draft rules issued recently to operationalize the Social Security Code 2020, and these rules could undergo significant changes, particularly regarding benefits for gig and platform workers. Senior officials from the Ministry of Labour have indicated that the government is committed to ensuring no worker in the gig economy is left out of social security coverage due to technical criteria currently set out in the draft rules.

Currently, the draft rules stipulate that platform workers must work a minimum of 90 days within a year to be eligible for social security allowances such as health insurance, accident coverage, and other welfare benefits. For workers engaged across multiple platforms, the threshold rises to 120 days. However, these cut-offs have drawn criticism from unions and workers’ groups, who argue that the norms do not reflect the irregular and fragmented nature of gig work. Many workers are unable to meet the current criteria and could be excluded from crucial benefits. Unions have called for reducing the threshold to 60 days to align more closely with the actual work patterns of delivery and other platform-based workers.

This issue has gained additional attention following advisories from Labour Minister Mansukh Mandaviya, who recently urged rapid-delivery platforms to avoid making unrealistic promises of 10-minute deliveries. Mandaviya highlighted that excessive delivery pressures contribute to unsafe working conditions for delivery partners. Government officials reaffirmed that all suggestions are under consideration, and the 90-day minimum threshold may be revised to ensure fair coverage for gig workers.

Background: Social Security Code 2020 and the Gig Economy

The Social Security Code, part of four labor codes implemented by the government in November 2025, represents a major overhaul of India’s outdated labor laws, replacing multiple British-era statutes with a consolidated framework. For the first time, the Code explicitly provides for social security benefits for gig and platform workers, recognizing the growing importance of this segment of the workforce in India’s economy.

India’s gig economy, particularly in sectors such as rapid delivery, home services, and digital platform-based work, has become a vital source of employment. Workers in this sector, however, often face irregular schedules, lack of job security, and limited benefits, prompting the need for protective legislation. The Social Security Code seeks to remedy this by mandating provisions for health insurance, maternity benefits, life and disability cover, and old-age support, with contributions to be made by platform aggregators, the government, or a combination of both.

Concerns Raised by Workers and Unions

Gig workers’ groups have repeatedly highlighted that the draft rules’ current thresholds do not reflect actual working patterns on delivery platforms. Shaik Salauddin, founder president of the Telangana Gig and Platform Workers’ Union, noted that under the current draft, many workers would fail to meet the eligibility threshold and thus miss out on social security payouts. Salauddin cited data from Deepinder Goyal, founder of Eternal, which owns platforms such as Zomato and Blinkit, showing that in 2025, the average delivery partner worked 38 days a year, averaging seven hours per day, reflecting participation consistent with gig work rather than a conventional fixed schedule.

Goyal also pointed out that “demanding full-time employee benefits like provident fund contributions or guaranteed salaries for gig roles does not align with the flexible model on which these platforms are built.” Nevertheless, workers’ unions contend that social security benefits are essential given the inherent vulnerabilities of gig work, including exposure to health risks, accidents, and financial uncertainty.

Raminder Uppal, a labor activist advising gig workers’ unions, highlighted additional gaps in the draft rules. He noted that the rules do not specify how aggregator firms should calculate contributions to the social security fund when workers move between multiple platforms. There is also ambiguity over whether contributions will be uniform across platforms and how provisional contributions for the current and past financial years should be calculated.

Provisions Under the Draft Rules

Under Section 114 of the Social Security Code, 2020, the Union Government is empowered to frame welfare schemes for gig and platform workers. These schemes include benefits such as life and disability insurance, health and maternity coverage, and old-age support. Funding for these schemes may come from aggregators, the government, or other sources, depending on the model adopted.

The draft rules also provide for centralized administration of social security benefits. Aggregators are required to register details of gig workers on a designated government portal, which will generate a Universal Account Numberfor each worker. This system is intended to streamline benefit distribution and ensure that contributions are properly accounted for.

Contributions collected under Section 114 will be maintained as part of a dedicated Social Security Fund for gig and platform workers. A separate account will be set up to manage these funds, as outlined in sub-section (2) of Section 141, ensuring transparency and proper utilization of resources for the intended beneficiaries.

Government Response and Next Steps

Officials have emphasized that the government is considering all public feedback carefully and is likely to adjust eligibility criteria to ensure that workers are not unfairly excluded. The aim is to create a social security framework that is both inclusive and feasible, reflecting the realities of the gig economy while providing meaningful protections to workers.

The labour ministry is in active consultation with unions, platform operators, and other stakeholders to finalize the rules. Any adjustments may include lowering the minimum workdays required for eligibility, clarifying contribution calculations for multiple-platform workers, and detailing the administration of the Social Security Fund to ensure timely disbursal of benefits.

Conclusion

The government’s review of the Social Security Code rules for gig workers is a critical step toward formalizing protections for one of India’s fastest-growing labor segments. With the gig economy playing a vital role in urban employment and economic activity, it is essential that social security mechanisms are accessible, practical, and responsive to the unique work patterns of platform workers. The coming revisions are expected to address workers’ concerns and provide a framework that balances flexibility with security, ensuring that gig workers receive essential protections without compromising the operational model of platform-based services.

As public consultation continues, labor activists and platform workers’ unions are watching closely, hoping for reforms that make social security benefits truly inclusive and reflective of the gig economy’s realities.

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