India’s Labour Reforms: Zepto, Swiggy, Eternal among platforms to pay 1–2% of turnover for gig workers’ benefits

India’s major overhaul of labour laws has set the stage for one of the biggest protections for gig and platform workers in the country. Under the new framework, aggregators, including food delivery companies, quick-commerce players, e-commerce platforms, logistics firms and ride-hailing services, will now be required to contribute 1–2% of their annual turnover towards social security for gig workers. The move is expected to significantly benefit gig workers employed by new-age platforms that rely heavily on them, including Amazon, Flipkart, Zepto, Meesho, Eternal, Swiggy, Urban Company, Uber, Ola, and others. This contribution will be capped at 5% of the total amount paid or payable to such workers.

The initiative comes into effect as the Centre consolidates 29 existing labour laws into four key labour codes. These reforms extend benefits to all categories of workers—full-time employees, contract workers, women workers, those engaged in hazardous sectors, and, for the first time at scale, gig and platform workers.

According to the Ministry of Labour & Employment, gig workers will now have access to PF, ESIC, insurance, and other social security schemes under the Code on Social Security, 2020. A key enabler will be an Aadhaar-linked Universal Account Number, which will make welfare benefits portable across states, particularly benefiting migrant workers.

Calling the announcement “historic,” Prime Minister Narendra Modi wrote on X: “Today, our Government has given effect to the Four Labour Codes. It is one of the most comprehensive and progressive labour-oriented reforms since Independence. It greatly empowers our workers. It also significantly simplifies compliance and promotes ‘Ease of Doing Business’.”

The four labour codes—the Code on Wages (2019), the Industrial Relations Code (2020), the Code on Social Security (2020), and the Occupational Safety, Health and Working Conditions Code (2020)—will be implemented from 21st November 2025.

In its official statement, the Labour Ministry added, “The implementation of the four Labour Codes addresses the long-pending need to move beyond colonial-era structures and align with modern global trends. These reforms empower workers and enterprises alike, building a stronger and more resilient workforce for a self-reliant India.”