Karnataka proposes bill to protect rights of platform-based gig workers
The Karnataka Platform-based Gig Workers (Social Security and Welfare) draft bill, 2024, has been published. The proposed legislation mandates that aggregators must give a 14-day notice before terminating gig workers, and provide written reasons for the termination. It also stipulates that all grounds for termination or deactivation from the platform, should be clearly specified in the agreement between aggregators and gig workers.
Registration and welfare measures for gig workers
The bill requires the registration of platform-based gig workers as well as aggregators in Karnataka. Upon onboarding, gig workers will get a unique ID applicable across all platforms. Aggregators must submit their database of all registered gig workers within 60 days of the Act's commencement. The bill also proposes the establishment of a welfare board and fund for gig workers, including those providing services like food delivery, logistics, e-marketplaces, ride-sharing, healthcare, travel and hospitality, content, and media services.
Welfare fee and penalties outlined in draft bill
The 'Platform-Based Gig Workers Welfare Fee' outlined in the draft bill stipulates that a percentage of the pay of gig workers or the aggregator's annual turnover in Karnataka, will be deposited by the aggregator into the welfare fund. The exact percentage is yet to be specified. The bill also imposes penalties ranging from ₹5,000 to ₹1 lakh on aggregators for violating rules, with a daily fine of ₹5,000 for continued violations.
Ensuring contractual rights and dispute resolution
The draft bill mandates that aggregators must notify gig workers of any proposed contract changes at least 14 days prior, allowing workers to end the contract without losing entitlements under other terms. Gig workers can also refuse a certain number of gigs per week without facing adverse consequences. The bill further requires aggregators to appoint a human point of contact for gig workers' queries, and form an Internal Dispute Resolution Committee if they have over 50 platform workers.
Grievance redressal and inspection measures
The draft bill provides for grievance redressal mechanisms for gig workers. They can file complaints with the state government's grievance redressal office or via a web portal offered on every aggregator's platform under this Act. The state government is also authorized to review or inspect contracts, automated systems, working conditions, and safety standards of aggregators under this Act, ensuring accountability and adherence to the proposed regulations.