NextFin News - On December 30, 2025, the Indian Union labour ministry issued draft labor rules under the Code on Social Security Central Rules 2025, setting a minimum annual engagement threshold for gig and platform workers to access social security benefits. Specifically, the draft mandates that gig workers must be engaged with a single aggregator for at least 90 days in the financial year to become eligible for social security schemes. For those associated with multiple aggregators, the cumulative workdays requirement is 120. This landmark regulatory proposal was released just prior to widespread gig worker protests on December 31, 2025, advocating for better wages, working conditions, and social security coverage.
The rules define engagement on any calendar day as earning any income from work done for an aggregator, regardless of the amount. In cases where workers serve multiple aggregators on the same day, each engagement counts separately. The framework also extends eligibility to gig workers engaged directly by aggregators or via associated entities such as subsidiaries or third parties. Registration of workers on the central e-Shram portal — a comprehensive database for unorganised workers — is mandatory, with registered workers receiving digital identity cards carrying official proof of their status.
Notably, workers must maintain up-to-date information on address, occupation, mobile number, and skills to maintain eligibility. Social security benefits on offer include health insurance, life insurance, and personal accident coverage. Fund contributions will be collected from aggregators and credited to a dedicated Social Security Fund for gig workers. Eligibility ceases at age 60 or if a worker does not meet the minimum engagement days in the prior financial year. The government will also include five nominated gig worker representatives in the National Social Security Board for unorganised workers on a rotational basis.
This announcement comes in the context of India’s expanding gig economy, characterized by millions of workers in sectors such as food delivery, transportation, and digital freelancing. These workers currently face fragmented labor protections and lack access to social security systems prevalent in traditional employment.
Introducing a minimum engagement threshold of 90 days for social security benefits is intended to balance the need for worker protections with the flexible, intermittent nature typical of gig work. By legally defining a quantifiable minimum period of work, the government aims to formalize gig employment and provide essential protections without overly burdening aggregators or workers with marginal involvement.
However, this threshold raises critical questions over inclusivity. Many gig workers, particularly those relying on sporadic or seasonal work, may struggle to meet the 90-day minimum, thus potentially excluding a significant segment from social benefits. The cumulative counting method for workers engaged with multiple aggregators partly mitigates this, but concerns remain about those with inconsistent incomes or who opt for gig work as a secondary source of income.
The requirement for continuous registration updates introduces administrative complexity for workers, many of whom come from vulnerable socio-economic backgrounds with limited access to digital tools. The government’s digital identity initiative and centralized Social Security Fund underscore efforts at building a scalable and transparent benefits delivery system, but its operational efficacy will depend on seamless aggregator compliance, data accuracy, and robust grievance redressal mechanisms.
Economically, this policy addresses a longstanding gap in India’s labor regulations by progressively extending social security to informal sector workers, estimated at over 80% of the workforce. The move can enhance financial inclusion, reduce dependency on informal credit and support systems, and stabilize earnings volatility inherent in gig work. From an industry viewpoint, aggregators may face increased compliance costs and administrative responsibilities; however, structured social security contributions could foster greater worker loyalty and reduce industrial unrest.
Looking ahead, India’s threshold-driven inclusion model sets a precedent for other emerging economies grappling with gig work formalization. The government’s strategy to involve worker representatives on national boards suggests a participatory governance approach, potentially leading to future incremental policy refinements based on ground realities.
Monitoring will be crucial on how these rules impact gig workforce dynamics—whether they incentivize more stable work engagements or prompt some workers to hover below the engagement limits to avoid deductions or obligations. Furthermore, aligning the social security framework with evolving labor market trends, technology-enabled employment platforms, and income diversification remains critical to ensure the sustained welfare of gig workers.
In summary, India’s draft labor rules mandating a 90-day annual work minimum for social security represent a significant step toward recognizing and protecting gig economy participants. While promising in extending formal benefits, the policy entails balancing inclusion challenges, operational implementation hurdles, and potential unintended effects on gig labor patterns. The coming years will reveal how effectively this regulation supports the resilience and dignity of India’s vast unorganised workforce amidst a rapidly transforming economic landscape.
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