Gig workers in Karnataka will be provided a life insurance cover of ₹2 lakh and accidental insurance of another ₹2 lakh, proposed the state Budget 2023-24, presented here on Friday.
The entire insurance premium would be borne by the State government, said Chief Minister Siddaramaiah while presenting the Budget.
“In order to provide social security to the ‘Gig Workers’ in the unorganised sector, that is people employed as full/part-time delivery personnel in e-commerce companies like Swiggy, Zomato, Amazon etc will be provided an insurance facility of total ₹4 lakh towards life insurance and accidental insurance,’‘ the Chief Minister said.
He said the inefficient management of Covid pandemic and anti-labour policies of the previous government has caused immense hardship to the labour class. “Our government honours every sweat of hard work, and will make every effort to promote the health and welfare of the working class by creating a labour-friendly atmosphere in the state,’‘ he further said.
Responding to Budget proposal, Shaik Salauddin, National General Secretary, Indian Federation of App Based Transport Workers (IFAT) said, the Congress Party in its election manifesto had stated that it would set up a Gig Workers’ Welfare Board with a seed fund of ₹3,000 crore, however the Budget had no mention of it.
Under the Motor Vehicle Aggregator Guidelines of the Union Government, Gig workers are entitled to get a term insurance of ₹15 lakh, and health insurance of ₹10 lakh.
“The insurance amount announced in the Budget is lesser than the amount that worker’s families could claim from these companies in case of an eventuality/accident. Karnataka is offering only a total of ₹4 lakh and this could make aggregator companies offer a smaller insurance cover or show unwillingness to offer life and health cover as per aggregator guidelines,’‘ Salauddin added.
West Bengal has recently implemented Motor Vehicle Aggregator Guidelines for its Gig Workers while Maharashtra is currently in the process of adopting these guidelines, as per him.
