The Karnataka labour division is prone to introduce a slab-based construction to gather welfare funds from aggregators to help the Karnataka Gig Staff Social Safety and Welfare Fund. In keeping with authorities officers, the labour division is contemplating a welfare price levy of 1-5 per cent primarily based on the payouts made to gig employees and the fee constructions of platforms.
The Karnataka Platform-Primarily based Gig Staff (Social Safety and Welfare) Ordinance, 2025, which obtained its assent from Karnataka Governor Thaawarchand Gehlot on Tuesday, mandates the state authorities to set the cess proportion for aggregators inside six months (November 2025) of the ordinance coming into power. The ordinance extends to aggregators, together with Swiggy, Zomato, Amazon, Ola, and Uber, amongst others.
Talking on the necessity for the ordinance, Karnataka Labour Minister Santosh Lad mentioned, “Gig employees rush via site visitors to ship items to clients on time. Every time I see them, I take into consideration the stress they endure, the danger of accidents of their haste, and the potential well being impacts from inhaling car fumes in congested site visitors. I had all the time thought that… we must always create a scheme to offer them with social and life safety.”
Dr Manjunath, Extra Labour Commissioner, Karnataka, informed The Indian Categorical, “We’re consulting all of the platforms and contemplating their inputs. The draft guidelines for setting the cess proportion can be finalised by Monday. We can be inviting public and stakeholder suggestions earlier than formalising the rule.”
The federal government is finding out the monetary modalities the aggregators have with gig employees in companies like experience sharing, meals and grocery supply, logistics, e-marketplace for wholesale/retail sale of products and companies, healthcare, journey and hospitality, and content material and media companies.
In the meantime, business physique Web and Cellular Affiliation of India (IAMAI) may also maintain a key assembly with its members, together with the main aggregator platforms, over Karnataka’s gig employees ordinance on Monday.
Throughout final yr’s consultations on the draft invoice, business voiced issues over a uniform price construction, citing its unsuitability for diverse platform enterprise fashions. The proposed slab-based method seems to handle these issues by tailoring the welfare price to totally different platform sorts.
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For example, SaaS (Software program-as-a-Service) platforms like Namma Yatri that function on subscription charges slightly than transaction commissions may very well be topic to decrease welfare price charges of 1-2 per cent. In distinction, commission-based aggregators similar to Swiggy, Zomato, Zepto, Ola, Uber, Amazon, and Flipkart might face greater charges, probably scaling as much as 5 per cent, relying on their income fashions and transaction volumes.
