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Karnataka Assembly Passes Gig Workers Welfare Law With 1–5% Platform Levy

Specific levy rates with board details now move to rulemaking after consultations.

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Karnataka Assembly passes bill to ensure social security for gig workers

Overview

  • The Bill replaces the May ordinance and makes platform companies responsible for social security, occupational health and safety of gig workers.
  • It establishes a Gig Workers’ Welfare Board and dedicated fund, mandates registration of workers and aggregators, and creates a dispute resolution mechanism.
  • Funding will come primarily from a 1%–5% fee on each payout to workers, with category-specific slabs to be set in forthcoming rules.
  • Safeguards include a requirement of 14 days’ notice with written reasons before termination, plus oversight of working conditions including potential health cards and safety gear.
  • The law spans eight aggregator service categories from ride-sharing and food and grocery delivery to logistics, e-marketplaces, professional services, healthcare, travel and hospitality, and content and media, while capping administrative use of the fund at 5%.