Delivery at any cost

India’s gig economy is growing fast, but so is the risk of injury on the job. The gig workforce has grown from 7.7 million in 2020-21 to nearly 12 million in 2024-25, according to the Economic Survey 2025-26.

Delivery at any cost

Photo:SNS

India’s gig economy is growing fast, but so is the risk of injury on the job. The gig workforce has grown from 7.7 million in 2020-21 to nearly 12 million in 2024-25, according to the Economic Survey 2025-26. It could reach 23.5 million by 2029-30 and 62 million by 2047, according to NITI Aayog and the Ministry of Labour and Employment, respectively. Women now account for around 28 per cent of this workforce, while nearly 40 per cent earn less than Rs 15,000 per month. The sector is expected to contribute about Rs 2.35 lakh crore to GDP by 2029-30.

Behind the numbers lies a workforce compelled to operate in high-risk conditions without adequate safeguards, comprehensive insurance, or institutional accountability. On the night of April 7 in Hyderabad, two young engineering students, Shiva and Sandeep, completed a delivery and began their journey home. They had taken up night shifts to ease their families’ financial burdens. Tragically, a drunk driver rammed into their motorcycle, killing them both. In February, 25-year-old Hem Shakar was killed in Delhi’s Tilak Nagar at 3.30 a.m. when a speeding car struck his e-scooter from behind. For the customers who placed those orders, it may have been just another cancellation notification. They would never know that a delivery worker died trying to fulfil their order. Death may be rare, but injury is not.

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A 2023 survey by the University of Pennsylvania and PAIGAM found that most of the gig workers (99.3 per cent) report health issues ranging from back and leg pain to insomnia. Workers also live under the constant threat of algorithmic control: accounts can be deactivated or incentives cut with no explanation. The Code on Social Security, 2020, now being operationalised, recognises gig workers as a distinct class. It requires companies to deposit 1-2 per cent of annual turnover, or up to 5 per cent of the amount payable to workers, into a government welfare fund meant to support life insurance, accident coverage, health and maternity benefits, old-age protection, and childcare facilities.

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However, the draft Social Security Code (Central) Rules, 2025, stipulate that a gig worker must be engaged for at least 90 days to qualify for such benefits. In January, in Noida, 18-year-old Ankush was killed on his very first day of work. Life insurance and cashless emergency care must be guaranteed from day one, without waiting periods. In April, Telangana joined Rajasthan, Karnataka, Bihar, and Jharkhand in enacting dedicated gig worker legislation. Under the Telangana Platform-Based Gig Workers (Registration, Social Security and Welfare) Act, workers are entitled to accidental death benefits from the first day of work.

The Act also proposes a real-time digital verification system to prevent the diversion of welfare funds. Rajasthan, in 2023, pioneered the welfare board model and introduced a per-transaction surcharge to fund social security. Karnataka recognised the worker’s “right to know” how algorithms determine fares, and work allocation. Bihar embedded maternity and accident benefit entitlements in law and introduced the right to human review of algorithmic decisions. Jharkhand focused on building a mandatory state-wide registry integrated with e-Shram. For termination, Telangana law requires a seven-day written notice, while Karnataka law mandates a 14-day notice.

The dangers that gig workers face are not limited to the roads. In 2023, Mohammed Rizwan died in Hyderabad after jumping from a third floor to escape a customer’s ferocious dog. Delivery workers also encounter poorly lit buildings, unsafe staircases, and malfunctioning elevators. Consumers must share responsibility. Platforms should require users to disclose hazardous conditions such as lack of lighting, absence of elevators or the presence of aggressive animals. Workers must also have the right to refuse unsafe deliveries without penalty. Platform design can also reinforce safer behaviour. Every order placed between 10 p.m. and 5:00 a.m. could include a “Late Night Urgency Acknowledgement,” prompting users to reconsider whether the delivery is essential.

Mandatory nighttime surcharges could help fund insurance and reflective safety gear. Global experience shows safer systems are both possible and practical. New York City has mandated a guaranteed hourly wage of $22.13, ensuring that compensation is linked to time worked rather than the number of deliveries. Courts have upheld these reforms despite legal challenges from platforms. The EU’s Platform Work Directive, to be enforced by December 2026, introduces a “legal presumption of employment.” If a platform exerts significant control over a worker, they are automatically entitled to labour rights and social protections. The Directive also focuses on algorithmic management, requiring human oversight over decisions such as account suspensions.

Spain’s “Riders Law” treats delivery workers as employees by default, unless the platform proves otherwise. In the U.K., following the Uber BV v Aslam ruling, gig workers have been classified as “workers” entitled to minimum wage, paid leave, and pension benefits based on the platform’s level of control. Australia’s ‘Closing Loopholes No. 2 Act 2024’ allows its Fair Work Commission to set minimum pay, insurance, and work standards for employee-like gig workers. The International Labour Organization is now working on new standards for decent work in the platform economy, focusing on algorithmic transparency and basic social protection. India is beginning to recognise these needs.

Some platforms have announced rest points and urged users to avoid non-essential orders during peak heat. Tamil Nadu has created free, air-conditioned rest lounges for gig workers in Chennai. These early steps must be scaled nationally. Ultimately, this is a call for respect and humanity. The individuals who arrive at our doorsteps are not anonymous service providers; they are often educated young people striving to support their families. A small gesture such as walking to the gate, offering a glass of water, or saying thank you, can ease the burden of long shifts. Shiva, Sandeep, Hem Shakar, Ankush, and Rizwan were young men whose dreams ended in the course of their work. The next delivery is already on its way. If we fail to act through law, policy, and personal responsibility, the next tragedy may be on its way too.

SRINIVAS MADHAV

The writer is a transparency and equality advocate, and co-founder 51ABI Foundation

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