Economic Survey Says Policy Must Ensure Gig Work Is a Choice, Not a Compulsion

At a time when the working conditions of gig workers are under growing scrutiny from policymakers, the Economic Survey has noted that digital platforms have become the core infrastructure of the gig economy, controlling how workers and jobs are matched. This concentration of power has raised concerns around platform fees, algorithmic decision-making, and worker protections. 

The Survey says that policy intervention can reduce the gap between regular jobs and gig work by stopping companies from avoiding mandatory benefits and by setting minimum pay per hour or per task, including waiting time. This could encourage more formal jobs and help increase incomes for low- and medium-skilled gig workers. 

“Taken together, the goal of gig-economy policy should be to reshape the terms so that workers exercise real choice rather than being pushed into gigs due to weak demand, skill mismatch, or the absence of a safety net,” it says. 

Listing out the vulnerabilities that workers face, the survey points out that about 40 per cent of gig workers report earnings below ₹15,000 per month.79 “Limited skilling and fears of job losses due to technological advances such as artificial intelligence (AI) and machine learning (ML) add to worker vulnerability,” it adds.  

Citing international examples, the survey highlights that countries across the world are tightening regulations around the gig economy. In 2021, Spain introduced the “ley rider”, which classified food delivery riders as employees. 

Another key challenge for gig workers, the survey adds, is limited access to credit and basic assets like bikes, cars or equipment, which makes it hard for them to move into better-paying gigs. “It is important to help gig workers manage unstable incomes. They require basic financial planning support, including access to low-cost emergency savings schemes, portable social security benefits, and budgeting or financialliteracy programmes.” 

This comes amid repeated concerns raised by unions backing gig workers over their working conditions. The women-led Gig & Platform Service Workers’ Union marked Republic Day by logging off their apps for a day to protest what they described as unfair policies, and the threat of account deactivations. 

 Last month, thousands of delivery workers also went on strike, calling for fair pay, dignity at work and safer conditions. Against this backdrop, the government asked quick-commerce platforms to withdraw the contentious “10-minute delivery” promise, citing concerns over worker safety.