Centre May Relax 90-Day Work Threshold for Gig Workers to Expand Social Security Coverage

The Union Government is reportedly reconsidering the eligibility criteria for Gig Workers Social Security following industry feedback. Recently, the Ministry of Labour and Employment released draft rules proposing that gig and platform workers must complete a 90-Day Work Threshold with a single aggregator (or 120 days across multiple) to qualify for benefits. Nonetheless, statistics indicate that this high demand might disqualify almost 70 percent of the labor force since most delivery companies operate seasonally or part-time. In response, officials have indicated a willingness to lower or remove this barrier to ensure the Code on Social Security effectively covers the intended beneficiaries.

Implementation of the Code on Social Security

The government’s primary objective with the Code on Social Security is to formally bring millions of gig and platform workers into the ambit of safety nets for the first time. This step in history is expected to have the following benefits; health insurance, maternity cover and disability compensation. But the strict interpretation of the term of engagement has been a source of controversy. The preliminary document jeopardized to ostracize one of the target audiences: the casual earners who use websites such as Swiggy, Zomato, and Uber to earn a side-income, but not as a full-time job.

Revising the 90-Day Work Threshold for Inclusivity

To prevent mass exclusion, the Centre is now actively reviewing the 90-Day Work Threshold. Unions and systems have pointed out that a more fair model would be a pro-rata model or a reduced minimum day requirement. With their liberalization, the new norms would enable a much greater number of the gig workers population to receive the national social security fund. Such flexibility is vital in the successful implementation of the e- Shram portal registration that will be used as the database of identifying eligible workers and provision of such critical measures of welfare.

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