Telangana rolls out social security scheme for gig workers

UPDATE - follow-up to Rahul Gandhi promises social security, insurance cover for gig workers in Telangana: Telangana has officially launched the Gig Workers Social Security and Welfare Scheme in Hyderabad, fulfilling promises made to workers in the platform-based economy. Lok Sabha Leader of Opposition Rahul Gandhi and Chief Minister A. Revanth Reddy launched the scheme at Hitech City during the Bharat Summit on Saturday.

Scheme Benefits

Under the new measures, every gig worker will receive ₹5 lakh in accident insurance and ₹10 lakh in health insurance. The state is also setting up a contribution mechanism where 1% of every transaction, including cab rides and food deliveries, will be collected from companies. This money will go through the Gig Workers' Board before being sent directly to the workers' bank accounts. In addition, the proposed legislation will let workers view full details of their transactions, working hours, and payments on their mobile phones. The government will also build Wi-Fi-enabled rest zones in Hyderabad and other cities so delivery personnel can park and rest during their shifts.

Context

Gig workers face unique challenges because digital platform companies often classify them as independent contractors rather than traditional employees, leaving them without standard workplace benefits. State-level welfare boards and dedicated transaction fees represent a growing effort by policymakers in India to build a formal safety net for app-based delivery and transport workers.