India’s labor ecosystem is entering a new era. With the government set to roll out a landmark social security scheme for gig workers by the end of 2025, the way businesses engage with flexible and platform-based workers is poised for a major transformation. This bold step promises to bring PM-JAY health insurance, pension coverage, accident protection, and welfare benefits into the lives of millions working in the informal and gig economy.
As key gig economy hubs, Bengaluru, Mumbai, and Delhi-NCR are at the heart of this shift—and businesses operating in these metros must act now to stay compliant, competitive, and ethically aligned.
Understanding the New Social Security Framework
The new social security framework aims to formalize protections for gig and platform workers, recognizing their growing importance in India’s economy. The proposed scheme will include:
- PM-JAY health insurance for hospitalization and emergency care
- Pension benefits under a contributory model
- Accident and life insurance
- Maternity and disability support
- A dedicated gig worker welfare fund contributed by both government and platform companies
This move is rooted in the Code on Social Security, 2020, and focuses on creating a national database of gig workers to ensure benefits are distributed fairly and efficiently.
For businesses, this is a crucial opportunity to align operations with government mandates while building long-term workforce sustainability.
Why Bengaluru, Mumbai & Delhi-NCR Must Prepare Now
Bengaluru: Tech-Powered Compliance
As India’s startup capital, Bengaluru is home to thousands of platform-based companies—from food delivery to logistics to home services. With gig workers playing a critical role in service fulfillment, companies must now take steps to support social security for gig workers in Bengaluru.
Mumbai: Protecting the Service Economy
Mumbai’s dynamic economy depends heavily on delivery personnel, drivers, and on-demand workers. The upcoming scheme will make Mumbai gig worker health insurance a mandatory employer responsibility. Businesses in logistics, retail, and tech must begin incorporating this into their HR and finance processes.
Delhi-NCR: Policy to Practice
As a policy nerve center and growing startup ecosystem, Delhi-NCR is expected to play a key role in scheme implementation. The region’s diverse economy spans everything from ride-hailing to last-mile logistics. Businesses must now prepare to contribute to the Delhi-NCR gig welfare fund, and ensure worker benefits are trackable and accessible.
Your Role: Supporting Compliance & Empowerment
At Marketplace, we understand the challenge of transforming compliance requirements into operational workflows. Our platform helps companies:
- Digitally onboard gig workers into a government-compliant registry
- Track earnings and hours worked to calculate welfare contributions
- Integrate PM-JAY health insurance and pension payments seamlessly
- Generate reports to ensure you’re aligned with labor codes
Benefits of Early Adoption
1. Talent Retention & Loyalty
Gig workers who receive structured health and pension benefits are more likely to stay loyal to platforms that support them. This is especially important in competitive sectors like mobility, food delivery, and e-commerce.
Offer gig workers benefits that go beyond a paycheck to build long-term trust.
2. Regulatory Readiness
By integrating compliance tools before the 2025 rollout, companies can avoid last-minute adjustments, audits, or penalties. Be audit-ready with automated social security reporting.
3. ESG & Brand Value
Supporting social welfare isn’t just about law—it’s about leadership. Businesses that empower informal workers show responsibility and score high on ESG metrics.
Position yourself as a socially responsible brand supporting gig worker rights.
What Should Businesses Do Today?
- Audit your gig workforce
- Digitize HR operations
- Train your teams
Choose the right partner to simplify gig workforce compliance