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The Karnataka government has constituted a Gig Workers’ Welfare Board to provide social security to gig workers operating in the state

The framework introduces a mandatory welfare fee for aggregators which will see all digital platforms operating in Karnataka to contribute around 1% to 1.5% of the payments made to gig workers towards a dedicated welfare fund

The contribution will not be deducted from workers’ earnings and is intended to finance social security benefits

Amid the ongoing face-off between gig workers and consumer platforms, the Karnataka government has constituted a Gig Workers’ Welfare Board to provide social security to gig workers operating in the state.

The move follows the enactment of the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Act, 2025, under which the Board will serve as the primary authority responsible for rolling out welfare schemes, managing funds and overseeing compliance by digital platforms.

The welfare board will have 16 members, including representatives from the state government, gig worker unions, aggregator companies and subject-matter experts from fields such as labour policy, technology and data systems. The state’s labour minister will chair the board.

One of the most significant provisions under the framework is the introduction of a mandatory welfare fee for aggregators. All digital platforms operating in Karnataka will be required to register with the Board and contribute around 1% to 1.5% of the payments made to gig workers towards a dedicated welfare fund. The contribution will not be deducted from workers’ earnings and is intended to finance social security benefits.The move will likely strain the finances of quick commerce platforms like Blinkit, Swiggy Instamart, and Zepto.

Meanwhile, gig workers will need to register with the Board to become eligible for benefits, which are expected to include insurance cover, health- support and other welfare measures. The labour department will issue detailed rules on registration, eligibility, and fund utilisation in the coming weeks.

Calling it a landmark step for the gig and platform workforce across the country, labour union  Indian Federation of App-Based Transport Workers’ (IFAT’s) cofounder Shaik Salauddin lauded the state government’s bid to move from legislation to execution.

He called on the other state governments and the Centre to establish similar welfare boards and enact comprehensive legislation ensuring social security, fair wages, occupational safety, and grievance redressal mechanisms for gig and platform workers.

“This is a historic and inspiring moment for millions of gig and platform workers in India. Karnataka has shown the way by institutionalising a welfare board that recognises gig workers as workers deserving dignity, rights, and social protection,” Salauddin said.

It is pertinent to note that the Centre recently proposed a minimum 90-day work requirement for gig workers to access certain employee benefits under the new labour codes. The proposed rules, introduced on January 2, are part of the Social Security Code which were notified in November, as part of the labour and employment ministry’s efforts to overhaul labour and social security rules to safeguard the interests of these workers.

Despite the legislative push, the relationship between gig workers and platforms continues to be strained. Yesterday, Delhi-based gig workers’ union GIPSWU called for a nationwide “online” strike of gig and platform service workers. The Union said that this “online” protest will be followed by nationwide physical protests on February 3.