The Karnataka App-based Workers Union is preparing to legally oppose attempts to strike down the state's Gig Workers Act [1].
The legal battle represents a critical test for labor protections in the platform economy. If the act is overturned, thousands of delivery partners and ride-hail drivers could lose access to state-mandated social security and welfare benefits.
On Monday, June 29 [2], the Karnataka App-based Workers Union (KAWU), the Indian Federation of App-Based Transport Workers (IFAT), and the Telangana Gig and Platform Workers Union (TGPWU) issued a joint condemnation of the decision to challenge the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Act [2].
The challenge is being led by major aggregators who argue that the state law conflicts with federal guidelines. The Union said that the petitioners’ argument claiming that the law is repugnant to Centre’s Code on Social Security (COSS), 2020, is merely a delay tactic to evade corporate responsibility [1].
Labor advocates argue that the state-level legislation is necessary to provide a safety net for workers who are often classified as independent contractors rather than employees. By opposing the challenge, the unions aim to ensure that the welfare provisions remain intact despite corporate pushback.
The dispute centers on whether a state government has the authority to implement social security measures that may exceed or differ from the federal framework established in 2020. The unions said that the protections offered by the Karnataka act are essential for the survival and dignity of app-based workers [1].
“The Karnataka App-based Workers Union is preparing to legally oppose attempts to strike down the state's Gig Workers Act.”
This legal confrontation highlights the growing tension between the 'gig economy' business model and state-led efforts to regulate labor. By challenging the act based on the federal Code on Social Security, aggregators are attempting to maintain a flexible labor structure that avoids the costs of employee benefits. The outcome of this case will likely set a precedent for other Indian states seeking to implement similar platform-worker protections.
