Winning Bizness Desk
Mumbai.India’s expanding gig economy has come under sharp scrutiny in the Economic Survey tabled in Parliament on January 29, highlighting low and unstable earnings for millions of platform-based workers. The survey notes that nearly 40 percent of gig workers in sectors such as food delivery, quick commerce and other digital platforms earn less than Rs 15,000 a month. It flags income volatility, algorithm-driven work pressure and lack of financial security as key concerns, while urging the government and companies to put in place safeguards to ensure fair compensation and sustainable livelihoods for this fast-growing workforce.
Income insecurity remains the biggest challenge
The survey underlines that the absence of fixed monthly income is the biggest problem faced by gig workers. Because earnings fluctuate daily and weekly, workers often struggle to qualify for bank loans, credit cards and other formal financial services. The report stresses that public policy should aim to make gig work a voluntary and flexible choice, rather than an option forced by lack of alternatives. To address this, it recommends introducing a system of minimum earnings, either per hour or per task, to provide a basic income floor.
Key issues highlighted by the survey include:
- Nearly 40 percent workers earn below Rs 15,000 monthly
- No fixed income leads to financial instability
- Limited access to loans and formal credit
- Need for policies that promote choice, not compulsion
Call for minimum earnings and waiting-time pay
One of the major recommendations in the survey is to define minimum earnings standards for gig workers. This could be calculated on an hourly basis or per task, depending on the nature of work. Importantly, the survey also suggests that workers should be compensated for waiting time, such as the period spent between orders or assignments, which currently goes unpaid on most platforms. According to the government’s assessment, recognising waiting time as payable work would make earnings more predictable and fair.
Algorithm control raises burnout risks
The survey raises concerns about platform algorithms that control work allocation, performance ratings and income levels. These systems decide who gets more tasks, how incentives are structured and how performance is judged, often without transparency. The report notes that such tight algorithmic control has increased work pressure on gig workers, leading to physical fatigue, mental stress and a growing risk of burnout. It cautions that unchecked reliance on algorithms can worsen working conditions even as platforms scale up operations.
Rapid growth of gig workforce
India’s gig workforce has grown rapidly over the past four years. In the financial year 2021, the number of gig workers stood at around 77 lakh. By 2025, this figure has risen by 55 percent to nearly 1.2 crore workers. Currently, gig workers account for a little over 2 percent of the total workforce. Projections suggest that by 2029-30, gig work could form 6.7 percent of all non-agricultural jobs in the country, making it a significant part of India’s employment landscape.Investment in training and future economic role
The survey advises delivery platforms and other gig companies to invest more in worker training and assets such as vehicles and essential equipment. It notes that due to lack of money and resources, many gig workers are unable to upgrade skills or move into better-paying jobs. Looking ahead, the gig economy is expected to play a major role in India’s growth story, with its contribution to GDP projected at around Rs 2.35 lakh crore by 2030.
Recent developments underline the urgency of reforms:
- Protests by Zomato and Swiggy workers over pay
- Demands for better working conditions
- Rising public debate on platform accountability
- Survey recommendations seen as timely and critical
