Rs 4 lakh insurance cover for gig workers: Karnataka government

In a big relief for 2.3 lakh platform-based gig workers, the Karnataka government issued an order on September 8 to roll out a package of Rs 4 lakh insurance cover— Rs 2 lakh life insurance and Rs 2 lakh accidental insurance. It will cover full-time and part-time workers with Swiggy, Zomato, and e-commerce companies such as Amazon, Flipkart, and BigBasket among others. “The ‘Karnataka State Gig Workers Insurance Scheme’ is to be implemented with immediate effect through the Karnataka State Unorganised Workers’ Social Security Board,” the order stated. It fulfils the 2023-24 budgetary announcement by Chief Minister Siddaramaiah, to provide social security to workers under labour laws. The entire cost will be borne by the government. Hospital expenses of up to Rs 1 lakh will be reimbursed and benefits are applicable in case of “accident on duty and off duty”, but only for active workers. They can apply within one year of the accident/ death. It is considered a breakthrough for workers who put their lives at risk while delivering goods and services. Though the state labour department has no data on the number of workers, the Centre’s Niti Aayog furnished the same, suggesting the necessity of the social security initiative. Gig workers registered on the government’s official web portal will benefit from the initiative. Legal heirs of the beneficiaries and siblings of unmarried workers are eligible for compensation. They can apply directly on the Seva Sindhu portal with the necessary documents, including E-Labour Identity Card number. The Karnataka State Unorganised Workers’ Social Security Board created a financial fund by opening an account ‘Karnataka State Bus Workers Insurance Scheme’ in any branch of a nationalised bank to distribute benefits. The source of finance includes a grant from the state government or Central government if the subsidy is available.