Hyderabad: The Telangana Cabinet approved the gig workers welfare bill to provide legal recognition, social security and regulation for platform workers.
The bill aims to benefit nearly three lakh workers engaged in transport, delivery, logistics and home services. These workers often face long hours and lack job security.
Moreover, the government noted issues such as fluctuating earnings and lack of transparency in platform algorithms. Therefore, it introduced a comprehensive framework to address these concerns.
New law ensures rights and transparency
The legislation grants statutory recognition to workers for the first time in the state. It also proposes unique identification cards for all registered workers.
Workers will gain access to welfare schemes and basic protections. In addition, they will have rights related to safe working conditions and transparent payment systems.
The law mandates registration of both workers and platforms. While workers can self-register, platforms must share data within a fixed timeline.
Furthermore, aggregators must disclose how algorithms affect task allocation, incentives and ratings. They must also communicate clearly in languages understood by workers.
Welfare board and fund proposed
The legislation proposes a 20-member welfare board chaired by the Labour Minister. It will include representatives from government, platforms, workers and experts.
The board will operate from Hyderabad and serve a three-year term. It will oversee implementation and policy decisions.
In addition, the bill creates a dedicated welfare fund. This fund will support benefits such as accident relief, health coverage and financial assistance.
The fund will receive contributions from aggregators, government grants, CSR funds and donations. A digital system will track payments to ensure transparency.
Grievance system and penalties outlined
The bill introduces a structured grievance redressal system for workers. The government will appoint officers, while larger platforms must form internal committees.
An appellate mechanism will function at the Deputy Commissioner level. The law also requires notice periods for contract changes and termination.
It prescribes penalties for violations, starting at Rs 50,000 for the first offence. Repeated violations will attract higher penalties.
Officials said the framework aligns with the Code on Social Security, 2020. However, central rules are still pending.
Overall, the move aims to position Telangana as a leader in gig worker governance. It also seeks to improve labour relations and support data-driven policymaking.
