The implementation of the new Labour Codes by the Government of India, effective November 21, 2025, has impacted gig and platform workers in more ways than one.
According to a 2024 report by the International Labour Organisation (ILO), 71.4% of gig workers in India reported not receiving additional allowances or fringe benefits from platforms, aside from fuel allowances in some cases and medical insurance. The new codes aim to rectify the same.
The codes also shed light on the definition and rights of “platform workers,” a form of employment that has been undeniably on the rise and is rapidly and surely becoming an intrinsic part of people’s everyday lives.
The New Definitions
The Code on Social Security (COSS), 2020, has provided a legal definition of the term “gig worker,” clearing the fog of vagueness that has been surrounding this line of work.
As per the Code, “gig worker” means a person who performs work or participates in a work arrangement and earns from such activities outside of a traditional employer-employee relationship.
Similarly, the code defines “platform work” as a work arrangement outside of a traditional employer-employee relationship in which organisations or individuals use an online platform to access other organisations or individuals to solve specific problems or to provide specific services or any such other activities which may be notified by the Central Government, in exchange for payment.
Until now, the lack of a clear definition for these two terms has meant that many workers in India have found themselves slipping through the cracks. Apart from compensatory benefits, these definitions are also paving the way for accountability and security for both workers and employers.
Clear definitions mean being seen, being heard, and being acknowledged. Where many gig and platform workers found themselves lacking job security due to their vague place in the workforce, they now have defined rights and responsibilities.
A New Era of Social Security
As per the new changes, a National Social Security Board will be established to advise the Government on formulating and monitoring suitable schemes for different sections of workers in the unorganised, gig, and platform sectors.
This term for this board will be three years, and it will meet three times a year. The members will include:
- Union Minister for Labour and Employment as Chairperson
- Secretary, Ministry of Labour and Employment as Vice-Chairperson
- Forty members to be nominated by the Central Government, out of whom—
- Seven members will represent unorganised sector workers
- Seven members will represent employers of the unorganised sector
- Seven members will represent eminent persons from civil society
- Two members will represent the Lok Sabha, and one from the Rajya Sabha
- Ten members will represent the Central Government Ministries and Departments concerned
- Five members will represent the State Governments
- One member will represent the Union territories
- The Director General Labour Welfare, as Member-Secretary, ex officio
With these measures, the codes mandated social security scheme frameworks for gig and platform workers. All workers, including gig and platform workers, will get Provident Fund (PF), Employees’ State Insurance Corporation (ESIC) benefits, insurance, and other social security benefits.
Measures like these are meant to help all to live with dignity and security. These initiatives are not just about helping workers gain benefits but also about improving their living standards and recognising the importance of their work to India’s growth momentum.
Effects on Aggregators
“We welcome the government’s intent of implementation of labour reforms, and we are evaluating the changes which would have to be ushered in. The COSS is aligned with our existing priorities of providing safety, security, and welfare of our employees,” shared an Amazon India spokesperson.
The COSS now mandates that aggregators contribute 1–2% of their annual turnover, capped at 5% of the amount paid/payable to gig and platform workers, to enable social security coverage.
The term “aggregator,” as per the COSS, refers to a digital intermediary or a marketplace for a buyer or user of a service to connect with the seller or the service provider.
Apart from social security, aggregators must also comply with the minimum wages mandate under the Code of Wages, 2019. This establishes a statutory right to minimum wages for all employees. Earlier, the Minimum Wages Act applied only to scheduled employments, covering about 30% of workers.
Apart from the mandated changes, aggregators and other gig employers must also look into the challenges within the gig economy to overcome them. Initiatives like the e-Shram portal and government subsidies are just the starting step to boost gig and platform workers.
A National Database for All
In order to ensure that all gig and platform workers, as well as those in the unorganised sector, are provided with their due rights, the government will build a National Database of Unorganised Workers.
All unorganised, gig, and platform workers will have to register themselves on a National Portal. Following this, each worker will receive a Unique Identification Number. This number will be verified through Aadhaar and will be valid nationwide. This is meant to ensure that workers, especially migrant workers, can take their benefits with them even if they move for work.
Apart from the national-level initiatives, many Indian states have also stepped forward to support gig and platform workers. The Rajasthan Platform-Based Gig Workers (Registration and Welfare) Act, 2023, and the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Bill, 2024, are two such legal frameworks that aim to support this vital part of the workforce on a state level.
Final Thoughts
The new labour codes have brought with them a clear acknowledgement of gig and platform workers in India. From being stuck somewhere in the middle of legal and economic jargon, they now have clearly defined rights as well as the attention of the relevant governmental departments.
The wave of change intended to be ushered in by these initiatives has been welcomed by both workers and companies like Amazon. These new codes are a reflection of the modern working India and how it is now home to a diverse set of workers and working styles.
