India Expands Social Security Coverage for Gig Workers

The Government of India has expanded social security coverage for gig and platform workers by strengthening provisions under the e-Shram portal. The move aims to bring millions of workers engaged in app-based, freelance, and short-term employment arrangements within the ambit of formal welfare mechanisms, addressing long-standing vulnerabilities in the informal economy.

Gig and platform workers—such as delivery partners, ride-hailing drivers, freelancers, and home-service providers—often lack access to traditional employment benefits like health insurance, accident cover, and old-age security. By leveraging the e-Shram portal as a unified national database, the government seeks to identify, register, and deliver targeted social security benefits to this dispersed workforce.

The expanded coverage includes insurance and pension benefits, providing protection against health risks, workplace accidents, and income insecurity in old age. Registered workers become eligible for schemes such as accident insurance and contributory pension programmes, either directly or through convergence with existing central and state welfare initiatives. The framework also enables portability of benefits across states, which is crucial given the high mobility of gig workers.

The initiative aligns with the provisions of the Code on Social Security, 2020, which recognises gig and platform workers as a distinct category and mandates the creation of social security schemes for them. It also encourages greater participation by state governments and digital platforms in contributing to welfare funds and facilitating worker registration.

From a governance perspective, the use of digital platforms enhances transparency, reduces leakages, and allows data-driven policymaking. Over time, this database can support better labour market planning and targeted interventions.

Significance

Expanding social security coverage promotes inclusive growth by extending welfare protection to gig and platform workers. It strengthens labour rights, reduces economic vulnerability in the informal sector, and supports a more equitable and resilient workforce in the evolving digital economy.