Overview

• State government promulgated the Karnataka Platform Based Gig Workers (Social Security and Welfare) Ordinance on May 27 to establish a social security fund for platform-based workers.
• Aggregator platforms including Swiggy, Zomato, Ola, Uber and Amazon must contribute between 1% and 5% of each transaction into the new welfare fund.
• A Karnataka Gig Workers Welfare Board headquartered in Bengaluru will register workers and platforms, monitor fee collection and oversee social security schemes.
• Santosh Lad announced that detailed implementation rules covering fee categories and board constitution will be published within two weeks.
• Industry body IAMAI plans consultations with member companies as platforms warn that the welfare levy could lead to higher consumer prices.