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The Economic Times
The Economic Times

Gig-worker levy: Turnover-linked formula seen as more proportionate than transaction-based levy, say Analysts

New Delhi: As India moves to operationalise social security contributions for gig and platform workers, a seemingly technical design choice could carry outsized consequences for different segments of the platform economy: whether aggregators should contribute based on annual turnover or on a percentage of individual worker payouts.

A contribution mechanism for gig-worker social security that is linked to individual transactions rather than an aggregator's turnover could create a sharply uneven financial burden across the platform economy, hitting businesses built on high transaction volumes but low-ticket sizes especially hard, analysts and industry sources said.

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