Most of the major e-commerce aggregators in India are not committed to ensuring that gig workers associated with them earn a local living wage, according to a Fairwork India report released on Tuesday.
A local living wage is a level of pay that provides a decent standard of living for workers and their families in a specific region.
The report – Fairwork India Ratings 2024: Labour Standards in the Platform Economy – is the sixth consecutive annual study by Fairwork India on the working conditions of digital platform-based gig workers in the country.
Fairwork is an international research project that studies the working conditions of platform workers in more than 30 countries in Asia, Africa, Europe, North America and South America.
This year, Fairwork India interviewed 440 workers associated with 11 platforms – Amazon Flex, BigBasket, BluSmart, Flipkart, Ola, Porter, Swiggy, Uber, Urban Company, Zepto and Zomato – in Bengaluru, Chennai, Delhi, Kochi and Thiruvananthapuram.
The report also uses information gathered from desk research and evidence from the company on compliance with five principles: Fair pay, fair conditions, fair contracts, fair management and fair representation.
While two companies had a minimum wage policy, none were found to pay workers a local living wage.
Only BigBasket and Urban Company have a minimum wage policy that guarantees the hourly local minimum wage for workers after factoring in work-related costs, the report said.
However, none of the platforms were committed to ensuring that their workers earn “at least the local living wage after costs”.
None of the platforms showed any willingness to recognise workers’ collectives or trade unions.
“Despite many instances of workers’ protests and strikes across the country, and legislative changes addressing the platform economy over the years, platforms in India refuse to formally recognise or negotiate with workers’ collectives,” said the report.
Fairwork India also pointed out that in 2024, Amazon Flex, BigBasket, BluSmart, Swiggy, Urban Company, Zepto, and Zomato took steps to ensure that work-related risks were mitigated by providing workers with adequate safety equipment and periodic safety training.
“They also included provisions for risks such as accidents or theft, and easy access to public emergency infrastructure to ensure adequate support to mitigate the risk of lone working,” the report said.
However, only BigBasket, Swiggy, Urban Company, Zepto and Zomato provided workers with accident insurance at no additional cost. These were the only companies that provided monetary compensation for loss of income in cases where workers were unable to work due to medical reasons.
“This year witnessed gig workers’ welfare increasingly gain attention in political manifestos and legislative initiatives,” said Balaji Parthasarathy and Janaki Srinivasan, the principal investigators of the team that authored the report.
They added: “But with the implementation of these efforts remaining uncertain, and platforms redefining gig work, research and advocacy to improve the conditions of gig workers are ever more relevant.”
Also read: Gig worker crisis following reduced earnings and flexibility points to need for legal protection
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