Indian govt developing scheme to extend social security benefits to gig and platform workers: Union Labour Secretary
Indian govt developing scheme to extend social security benefits to gig and platform workers: Union Labour Secretary
Speaking at the CII Global Economic Policy Forum in New Delhi, Union Labour Secretary Sumita Dawra highlighted that the labour code on social security includes provisions for these workers, news agency PTI reported.
Dawra noted that the scheme for gig and platform economy workers is required because there is no traditional employer-employee relationship defined for them.
In October, Union Labour Minister Mansukh Mandaviya stated that a policy to provide social security benefits, such as pensions and health services, to gig and platform workers is under development.
He also mentioned that Niti Aayog had estimated 65 lakh gig and platform workers in the country, but the number could exceed 2 crore due to rapid growth in this sector.
Dawra noted that by 2030, the ministry anticipates over 3 crore workers in the gig and platform economy.
She acknowledged that the current workforce in this segment is approximately 1 crore and is expected to multiply significantly.
For the first time, the definitions of 'gig workers' and 'platform workers' have been included in the Code on Social Security 2020.
According to a Niti Aayog report titled India's Booming Gig and Platform Economy published in June 2022, the number of gig and platform workers in 2020-21 was 7.7 million, projected to rise to 23.5 million by 2029-30.
The gig and platform economy in India has grown rapidly in recent years, driven by the rise of e-commerce, food delivery services, and ride-hailing platforms.
Dawra also discussed the impact of artificial intelligence (AI) on jobs as there is a general belief that it will lead to job losses.
Citing experts, she stated that AI may not necessarily disrupt employment negatively and could have a positive impact on the economy.
Dawra also emphasized India's potential to address global labour shortages, citing RBI's provisional estimate of a 643-million-strong workforce.
She pointed out the increasing formalisation of the workforce, with around 7 crore Indians entering provident fund pension coverage since 2017.
Regarding the Employees' Linked Incentive (ELI) Scheme, she said it was announced in the Budget and is a crucial initiative to support manufacturing and workforce formalisation.
"I do hope that the industry will be looking at this scheme and will be using it to make themselves more competitive," she was quoted as saying by PTI.
NEH Report
Senior Staff Reporter at Northeast Herald, covering news from Tripura and Northeast India.
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