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Policy & Compliance

Union Budget and Gig Workers: What Changed

5 min read

Indian Parliament building — Union Budget announcements for gig workers and platform workers

Summary

The Union Budget 2025-26 was the first to announce specific support for India's platform workers, covering identity cards, e-Shram registration and health cover under PM Jan Arogya Yojana for about one crore workers.

The Union Budget 2025-26 was the first to announce specific support for India's platform workers. It covered identity cards, e-Shram registration and health cover under PM Jan Arogya Yojana, for about one crore workers. This post explains what was announced and what platforms and employers should do.

What Budget 2025-26 announced

Presented on 1 February 2025, the Budget said the government would:

  • Arrange identity cards for gig workers on online platforms
  • Register them on the e-Shram portal
  • Provide healthcare cover under PM Jan Arogya Yojana
  • Cover nearly one crore gig workers through this scheme

The legal backdrop

The Code on Social Security, 2020 recognised gig and platform workers in law for the first time. Several states, including Karnataka, have also passed their own gig worker welfare laws.

What platforms and employers should do

  • Help workers register on e-Shram. Registration is the gateway to the health and welfare benefits announced.
  • Keep clean worker records. ID, contact and earnings data will be needed for scheme enrolment and reporting.
  • Track state laws. State-level requirements may go further than central schemes.
  • Fill the gaps yourself. Government schemes cover health and social security. Day-to-day cash flow, the most immediate stress for gig workers, is not covered. Earned Wage Access fills that gap.

Frequently asked questions

Do gig workers automatically get PM-JAY cover?
No. Workers need to register on the e-Shram portal to access benefits.
Do employers need to contribute under the Budget announcements?
The Budget announcements did not set employer contributions. Contributions under the Code on Social Security and state laws are separate.
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