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The gig economy promises empowerment for Indian women—but without urgent reforms, it may deliver more precarity than progress
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In recent discussions surrounding women's empowerment, one topic that consistently emerges is financial independence. In this context, the gig economy has become both a catalyst for change and a reflection of women's challenges in pursuing financial independence. Given that India's female labour force participation rates are still among the lowest in South Asia, the gig economy is frequently viewed as a way to enhance these numbers. Digital platforms provide flexibility, which might assist women in juggling their caregiving and employment obligations. However, restricted digital access, lack of maternity and healthcare benefits, and worries about workplace safety prevent them from fully participating in this industry.
Women gig workers are forced to confront particular difficulties, including juggling erratic work schedules with caring for children or other family members. This balancing act can result in long-term stress, which is a significant cause of mental health conditions, including anxiety and depression. Temporary contracts that cause job instability make emotional anguish worse. `
Additionally, women gig workers are more likely to be harassed and encounter security risks, particularly in industries like ride-sharing. “Any place visited by the 'employee' during the course of employment, including the transportation system,” is included by the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH). Women employees can seek formal recourse against the harasser and a resolution because of this Act. However, the Act does not protect gig workers since gig platforms classify them as ‘independent contractors’. To establish a more secure network of service providers and consumers, digital platforms must incorporate ‘workplace harassment’ into their dispute categories to safeguard employees.
To address misclassification concerns, the European Parliament adopted the Platform Work Directive (EU) in April 2024, which sets new guidelines for the expanding gig economy industry.
Women platform and gig workers need comprehensive social protection, including coverage for unemployment, maternity, illness, and disability, to ensure access to healthcare and income. This protection is essential for realising their right to social security and improving labour market efficiency. To address misclassification concerns, the European Parliament adopted the Platform Work Directive (EU) in April 2024, which sets new guidelines for the expanding gig economy industry. This implies that unless the platform can demonstrate otherwise, workers are assumed to be employees, giving them access to social security benefits, job security, collective bargaining rights, and labour protections.
Similarly, in Canada, initiatives have been undertaken to enhance gig workers' labour rights. Recognising the difficulties gig workers experience, the government has started discussions to create stronger labour laws that factor in social welfare eligibility and employment classification. These examples offer valuable policy blueprints for India, alongside the 2025 Union Budget, which suggests creating special social security funds for gig workers to provide emergency financial aid and health insurance.
Studies conducted by the Consultative Group to Assist the Poor (CGAP) with gig workers demonstrated that gender norms restrict women to ‘female sectors’ like childcare, beauty services, home-based retail microenterprises, and housekeeping. Additionally, the digital gender difference often affects women in gig labour, coupled with the immediate physical and psychological effects. Socioeconomic hurdles, inadequate digital literacy, and limited technological access limit their capacity to progress in the digital labour market or land higher-paying jobs.
The digital gender difference often affects women in gig labour, coupled with the immediate physical and psychological effects.
According to the McKinsey Global Institute, if women's employment rates grow by 10 percentage points by 2025, India's Gross Domestic Product (GDP) may increase by US$0.7 trillion, or more than 25 percent of its current GDP. Although the gig economy has enormous potential to help women become financially independent and contribute to the nation's economic prosperity, it is currently not being built up to meet the particular requirements of women.
The Diwali ‘digital strike’ by female gig workers in 2024 highlighted the urgent need for regulatory change and improved working conditions. The Gig and Platform Workers Union (GIPSWU), India's first women-led gig workers' union, headquartered in Delhi, called the strike, which resulted in hundreds of female gig workers shutting off their phones and participating in ‘digital silence’. The protest brought attention to issues ranging from high commissions and low pay to insufficient safety precautions at work, and is advocating for fundamental worker rights like social security, health benefits, maternity leave, menstrual leave, and livable wages.
Targeted rules are essential to address the issues faced by gig workers, including long working hours, financial hardship, and a lack of safety nets.. Policymakers and other stakeholders could focus more on regulating gig work, creating easily accessible social protection and other specialised support for female gig workers, and combating sociocultural gender biases through behaviour modification initiatives to lessen the precarity of women working in the gig economy.
Businesses must provide welfare programmes such as health insurance, accident insurance, and unemployment safeguards. Public-Private Partnerships (PPPs) are necessary to provide maternity benefits, childcare facilities, and rest areas for female gig workers. Increasing POSH knowledge, creating grievance redressal procedures, and fortifying the e-Shram site can all improve workplace safety.
A multi-stakeholder approach is necessary to turn the gig economy from a place of exploitation to one of opportunity for women.
By providing training and capacity building, Pollicy, a feminist collective centred in Uganda focusing on women and technology, has attempted to solve some of the challenges women face in the gig economy. It also aims to collaborate with the global research initiative ‘Fairwork’ to evaluate the functioning of Uganda's thriving gig economy during the past year. Initiatives like these could help improve digital literacy and skills in India. A multi-stakeholder approach is necessary to turn the gig economy from a place of exploitation to one of opportunity for women. Job categorisation must be revamped to guarantee gig workers obtain benefits such as health insurance, paid time off, and retirement savings programmes. Lawmakers should take inspiration from nations that have effectively included women gig workers in the social security system. Companies should implement policies to safeguard women from discrimination at work. Discrimination of such nature should be prohibited at all levels— from employment to promotion.. Additionally, pay discrepancies can be addressed and equity can be promoted by setting transparent rates and payment procedures.
Gender-inclusive legislation and sufficient social security will allow women gig workers to continue working, increasing the labour market's overall variety and growth, and contributing to achieving the Sustainable Development Goals (SDGs) and the theme of International Women’s Day 2025.
As we celebrate International Women's Day 2025, with the theme of ‘Accelerate Action’, the need of the hour is to draw attention to a critical but little-discussed issue: women in the gig economy. These problems intersect with multiple SDGs, such as SDG 3 (Good Health and Well-being), SDG 5 (Gender Equality), and SDG 8 (Decent Work and Economic Growth). Without immediate action, the gaps in healthcare and labour rights for women will only continue to grow. Policymakers, gig platforms, and civil society must step up to ensure that women in the gig economy get the safety nets they deserve.
Madhavi Jha is a Research Intern at the Observer Research Foundation.
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