Over the last few weeks, platform companies in Karnataka have been racing to decode a new state law that formally recognises and protects platform based gig workers. The framework, which came into force earlier this year, has now been fully operationalised through detailed rules notified in November 2025. These rules create a dedicated welfare board, mandate registration of gig workers and platforms, and require platforms to share data about workers and automated decision systems. There is also a contribution based welfare fund structure where platforms must pay a percentage of their turnover or each transaction into a state managed pool for insurance, health support, and social security style benefits for delivery partners, drivers, and other platform workers.
For workers on the ground, the emotional response has been a mix of cautious hope and deep scepticism. Many delivery partners and drivers say they are glad to finally see a law that names them and promises some safety net after years of feeling invisible. At the same time, workers worry that platforms might change incentive structures, tweak algorithms, or push even more risk onto them to cover new costs. Some gig workers fear that if they question ratings or penalties, their accounts could be silently deactivated while the law takes time to become truly enforceable. Worker groups are trying to create awareness sessions to explain what registration, welfare funds, and grievance mechanisms actually mean in day to day life.
From a compliance and HR leadership lens, this law is a signal of where the future of work is heading. Platforms operating in Karnataka now need proper registers of gig workers, contribution tracking systems, dispute resolution processes, and transparency around algorithmic decisions that affect pay and access to work. Contracts, FAQs, and in app policies must be rewritten in plain language so workers understand how welfare contributions, insurance and grievance redressal will work. The framework may also influence how national labour codes on social security and platform work get interpreted on the ground. Companies that treat this as a box ticking exercise risk both penalties and public backlash, while those that design fair, data backed and humane compliance systems may gain an edge in attracting and retaining experienced gig workers.
What should platforms share transparently with gig workers so the new protections feel real, not symbolic?
How can HR and legal teams work together to make algorithm and data use fair and explainable for workers?
For workers on the ground, the emotional response has been a mix of cautious hope and deep scepticism. Many delivery partners and drivers say they are glad to finally see a law that names them and promises some safety net after years of feeling invisible. At the same time, workers worry that platforms might change incentive structures, tweak algorithms, or push even more risk onto them to cover new costs. Some gig workers fear that if they question ratings or penalties, their accounts could be silently deactivated while the law takes time to become truly enforceable. Worker groups are trying to create awareness sessions to explain what registration, welfare funds, and grievance mechanisms actually mean in day to day life.
From a compliance and HR leadership lens, this law is a signal of where the future of work is heading. Platforms operating in Karnataka now need proper registers of gig workers, contribution tracking systems, dispute resolution processes, and transparency around algorithmic decisions that affect pay and access to work. Contracts, FAQs, and in app policies must be rewritten in plain language so workers understand how welfare contributions, insurance and grievance redressal will work. The framework may also influence how national labour codes on social security and platform work get interpreted on the ground. Companies that treat this as a box ticking exercise risk both penalties and public backlash, while those that design fair, data backed and humane compliance systems may gain an edge in attracting and retaining experienced gig workers.
What should platforms share transparently with gig workers so the new protections feel real, not symbolic?
How can HR and legal teams work together to make algorithm and data use fair and explainable for workers?
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