The gig economy — work arrangements mediated through digital platforms, in which individuals work on discrete tasks or projects rather than as employees with long-term contracts — has grown rapidly in India over the past decade. Platforms like ride-hailing services, food delivery applications, and freelance marketplaces have created a new category of worker: the platform-dependent independent contractor.
Proponents of gig work argue that it offers flexibility unavailable in traditional employment — workers can set their own hours, take on multiple clients simultaneously, and enter and exit work arrangements without the constraints of notice periods or termination procedures. Critics point out that this flexibility is often illusory: platform algorithms determine which workers receive orders and at what rates, and workers who deviate from platform norms — by declining orders too frequently, for instance — face effective penalties in reduced allocation. The relationship resembles employment in its practical structure while denying workers the statutory protections that employment status would provide.
The Rajasthan Platform Based Gig Workers (Registration and Welfare) Act, 2023, was the first legislation in India specifically designed to address the legal status and welfare of gig workers. It established a registration system for gig workers and created a welfare fund financed by a levy on platform transactions.