Why in News:
- A recent study by the People’s Association in Grassroots Action and Movements has revealed the challenges of gig workers.
What is the Gig Economy? The Gig Economy is also called the freelance economy. It is an emerging economic model in which flexible part-time workers i.e. Gig Workers are hired to work in companies instead of being given full-time employment. |
Challenges Faced by the Gig Workers as per the Report:
- One third of app-based cab drivers work for over 14 hours a day and more than 83% work more than 10 hours and 60% work around 12 hours.
- More than 60% of drivers belong from Scheduled Castes (SC) and Scheduled Tribes (ST) community.
- Around 43% of gig workers earn less than Rs 500 a day.
- About one third of app-based delivery persons earn less than Rs 10,000 a month.
Recommendations for Improvement:
- Implement regulations to ensure companies establish fair and transparent payment structures
- Ensure the payment of a minimum wage to offer a fixed income component to workers.
- Address the practice of indefinite ID deactivation to safeguard workers’ rights to work.
- Platforms should reconsider commission charges and consider making separate payments for workers’ fuel bills.