Who Pays For Precarity? The Adequacy And Accountability Of Aggregator Contributions To Gig Worker’s Social Security
Jasmine Jothi K, The VIT School of Law (VITSOL)
ABSTRACT
The Social Security Code of India in 2020 marks an important milestone by officially incorporating gig and platform workers into the social security system. Where It requires aggregators to contribute one to two per cent of their annual turnover, capped at five percent of worker payments. However, this raises questions about the adequacy of this contribution to address the worker’s vulnerability and the accountability of aggregators in fulfilling it. Various sources, including NITI Aayog, Fairwork India, and industry studies, along with relevant regulations, highlight concerns about the effectiveness of the turnover-based formula, its comparison to traditional employers' contributions, and its enforcement. Currently, details such as the rate and start date are unspecified, no scheme under section 114 is operational, and enforcement relies heavily on data provided by the platforms themselves. To improve the system, read alongside Articles 21 and 23, it is suggested to establish a clear contribution base, a minimum payout requirement, safeguarded and publicly monitored funds, and consistent state taxes. Without these measures, workers are likely to bear the brunt of the precarious situation.
Keywords: Gig workers, Aggregator contribution, social security, Code on Social Security 2020, Platform accountability.
