·PIB·15 marks·250–350 wordsPolityEconomySociety

The recognition of gig and platform workers under the Code on Social Security, 2020 marks a paradigm shift in India's welfare architecture. Critically examine the role of the National Social Security Board in this context.

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In this answer
  1. Role of the NSSB: Strengths
  2. Limitations
  3. Way Forward

The Code on Social Security, 2020 is the first Indian law to define "gig" and "platform" workers [1]. It extends welfare to people who have no conventional employer. The National Social Security Board (NSSB) was notified under the Code in October 2026 [2] and is meant to anchor this shift. However, it can only advise, which limits what it can achieve.

Role of the NSSB: Strengths

  • Multi-stakeholder forum: The Union Labour Minister chairs it. Members represent the Centre, the States, aggregators, unions and gig associations [2]. The gig-worker Board has 5 aggregator, 5 worker and 5 State representatives, plus the DG of ESIC [3]. This suits a Concurrent List subject.
  • Mandate: It recommends schemes, monitors schemes run by the Centre, reviews State record-keeping and fund expenditure, and must meet at least thrice a year [2].
  • Platform-funded welfare: The fund it oversees draws on an aggregator levy of 1–2% of turnover, capped at 5% of worker payouts. The levy covers nine categories listed in the Seventh Schedule [3].
  • Relevance: The gig workforce is projected to grow from 77 lakh (2020-21) to 2.35 crore by 2029-30 [4].

Limitations

  • Not new: A Board with a similar recommend-and-monitor role has existed since 2009 under the 2008 Act [5]. Advice alone did not deliver coverage then.
  • No implementing power: It cannot notify or fund schemes. The levy rate also still awaits Central notification [2][3].
  • Weak enrolment: Only 5.09 lakh gig workers had registered on e-Shram, which relies on self-declaration, by November 2025 [1]. That is under 7% of NITI Aayog's estimate [4].
  • Parliamentary advice only partly adopted: The Standing Committee asked for gig workers to be counted as "unorganised workers", for universal coverage within a time frame, and for compact governance. Only the platform-worker definition change was adopted [6]. As a result, workers now face two Boards and possibly State boards as well.
  • Welfare, not rights: The Board cannot decide a worker's employment status or protect against arbitrary removal from an app.
  • Centralisation: The Centre chairs the Board, sets its procedure and assigns its remaining functions [2].

Way Forward

  • Notify the levy rate and procedure rules quickly.
  • Adopt a per-transaction fee like Rajasthan's 2023 Act [7]. Credit it to each worker's UAN using the aggregator data that the 2026 Rules require platforms to share through an API [8].
  • Use the Board's State members to prevent platforms paying a double levy (Central and State) for the same worker.

The NSSB gives the Code's recognition of gig workers an institutional home. Whether this becomes a real paradigm shift depends on funded schemes, platform-linked registration and a deadline for universal coverage. With these, the Board can advance Article 43's promise of a decent life for workers and SDG 8 on decent work.

Sources

  1. 1Labour Reforms: Formalising and Safeguarding India's Gig & Platform Workforce, PIB (Dec 2025): first legal definition of gig/platform workers; 5.09 lakh e-Shram registrations; self-declaration basis
  2. 2MoLE notifies National Social Security Boards for Unorganised Workers and Gig & Platform Workers, PIB (Oct 2026): chairperson, membership, functions, thrice-yearly meetings, Central control over procedure
  3. 3The Code on Social Security, 2020, PRS Legislative Research: aggregator levy of 1–2% capped at 5%; Seventh Schedule; gig-Board composition
  4. 4NITI Aayog Launches Report on India's Gig and Platform Economy, PIB (2022): 77 lakh gig workers (2020-21), 2.35 crore projected by 2029-30
  5. 5Lok Sabha Unstarred Question No. 3906, Ministry of Labour & Employment: NSSB under the 2008 Act constituted in August 2009
  6. 6PRS Standing Committee Report Summary: The Code on Social Security, 2019: Committee recommendations; only the platform-worker definition adopted
  7. 7The Rajasthan Platform Based Gig Workers (Registration and Welfare) Act, 2023, PRS: welfare fee on each transaction
  8. 8Welfare Schemes for Gig and Platform Workers, Lok Sabha answer: Social Security (Central) Rules, 2026 mandate registration and aggregator data-sharing through API
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