Will New Labour Codes Provide Gig and Platform Workers with Portable Social Security Benefits?
Synopsis
Key Takeaways
- Gig and platform workers receive legal recognition.
- Portable social security benefits introduced.
- Aggregators must contribute to a Social Security Fund.
- Workers can register on the e-Shram portal.
- Grievance redressal mechanisms to be established.
New Delhi, Dec 9 (NationPress) Workers engaged in gig and platform jobs across India are set to gain official legal status, along with portable social security advantages and a national registration system through e-Shram, as outlined in the Code on Social Security, 2020, according to a government announcement made on Tuesday.
As per the Social Security code, aggregators are mandated to contribute between 1% and 2% of their annual turnover, limited to 5% of the payments made or due to gig and platform workers, into a Social Security Fund, an official statement disclosed.
This fund is designed to support various welfare schemes for these workers, who previously assumed all risks independently, with no responsibilities placed on aggregators to support their welfare.
The improved provisions empower gig and platform workers with vital protections, granting them portable rights and transforming informal employment into a secure, acknowledged, and sustainable livelihood, as noted in the statement.
These workers are now eligible for government-recognized social security benefits, including accident insurance, health and maternity benefits, among others.
Workers will need to register on the e-Shram portal to obtain a unique Aadhaar-linked ID, facilitating the portability of benefits when transitioning between jobs or platforms, and ensuring uninterrupted coverage across various platforms, the statement mentioned.
Gig and platform workers have the option to self-register on the Government e-Shram portal, creating a comprehensive national database that bolsters social security, skill enhancement, targeted welfare delivery, and effective policy-making, it stated.
The new labour codes provide formal recognition, bringing these workers under the umbrella of social security and legal protections by clarifying key definitions such as “aggregator,” “gig worker,” “platform worker,” and “platform work.”
Previously, workers lacked access to formal labour laws and were unable to utilize structured grievance redressal systems. Under the new codes, the government plans to establish a toll-free helpline, call center, or facilitation center to address worker grievances and ensure timely assistance, the statement highlighted.