The gig economy in India is undergoing a significant transformation, driven by rapid technological advancements and changing labour preferences. According to a recent study by the VV Giri National Labour Institute, based on 2022 data from NITI Aayog, the country’s gig and platform workforce is projected to reach 62 million by 2047, accounting for approximately 15% of the total non-agricultural workforce.
Evolution and Current Landscape
Initially centred around ride-sharing and food delivery, India’s gig economy has diversified into sectors like healthcare, education, creative services, and professional consulting. In 2020, over 3 million gig workers were engaged across 11 major platform companies. This number is expected to grow significantly—reaching 23 million workers by 2030, which would represent 7% of the non-agricultural workforce.
Future Projections: Growth Amidst Volatility
The study highlights a potential doubling of gig workers in the coming decades. Under optimistic scenarios, India’s gig workforce could surge to 90.8 million jobs by 2047. However, this growth is not without risks. External factors such as economic instability and technological disruptions could limit this figure to just 32.5 million, reflecting the sector’s inherent volatility.
Rights and Legal Recognition
A major focus of the study is the legal status and rights of gig workers. In many countries like the UK and Canada, gig workers receive legal recognition, allowing for collective bargaining, social protection, and fair working conditions. The report calls for India to establish a clear legal framework distinguishing between employees and independent contractors to ensure fair treatment.
Key Challenges Facing Gig Workers
Despite the sector’s growth, gig workers continue to face multiple challenges. These include lack of job security, uncertain income, and limited access to social security. The ambiguity around their employment status often excludes them from traditional labour laws and welfare benefits, leaving them financially vulnerable.
Recommendations for Sustainable Growth
To strengthen the gig economy, the study proposes several recommendations. These include ensuring a minimum guaranteed income, implementing fair working hours, and establishing algorithmic accountability for platform companies. It also advocates for skill development programs, a national registry of gig workers, and streamlined grievance redressal mechanisms to empower the workforce.
Conclusion
India’s gig economy is poised for substantial expansion in the coming decades. However, sustainable growth will depend on how well the country addresses the challenges of worker recognition, rights, and security. With the right policies and protections in place, the gig economy can become a resilient pillar of India’s future labour market.