The Gig Economy: Need of a New Employment Law

The Gig Economy Need of a New Employment Law
Gig economy appears to the driving force of the business of future. But the absence of appropriate employment law in respect of gig workforce is certainly going to create huge litigation with all its attendant problems and imponderables. Government must step in to protect workers interest, consumer interest, the longer-term interests of this industry and to expand the field so that there is greater competition.

Even after 75 years of independence, less than 10% of our workforce is in the organised sector. What this means for this vast majority is that there is no security of service, no guarantee of minimum wages, no social security or insurance or other benefits, hand-to-mouth existence, often migrant status, no legal redress. The emergence of digital platforms and their ability to employ vast numbers of people offers an opportunity to materially impact this situation. However, so far, we have not acted on this opportunity, thereby even imperilling this entire industry and the people who earn their livelihoods from it. Till date the law applicable does not even define a “gig worker”, let alone address the problems that many of these platforms are creating for themselves and for others. The government has left the parties to work out their rights through courts, believing that All Is Well.

For the first time an attempt was made when a “gig worker” was defined under the proposed Code on Social Security as:

“gig worker” means a person who...

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Saurabh Prakash

is Advocate, Delhi High Court.

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Saurabh Prakash

is Advocate, Delhi High Court.

December 2024

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