Nasscom and IAMAI raise issues with Karnataka Gig Workers Bill

Bengaluru: The National Association of Software and Service Companies (Nasscom) and the Internet and Mobile Association of India (IAMAI) raised concerns with the draft of the Karnataka Platform Based Gig Workers (Social Security and Welfare) Bill, 2024 released by the government on June 29. The associations flagged issues with several provisions of the draft bill including the mandatory termination period and data transparency, projecting that it will cause a hindrance to business. The draft suggests a monetary penalty for non-compliance.

Nasscom in statement issued, said, “It lays down onerous and prescriptive obligations on aggregators like (indicative) minimum notice period for termination, algorithmic disclosures, monitoring and tracking mechanism (Central Transaction Information and Management System) and laying down terms of template contract with platform gig workers along with the power to review such contracts. These obligations are incompatible with the functioning of gig platforms and can adversely impact their operations in the State.” 

Likewise, IAMAI too insisted that the draft bill “could hinder business operations and negatively impact the ease of doing business in the state”. IAMAI also raised concerns with the proposed termination provisions, saying, “The mandatory 14-day termination notice lacks the flexibility to address situations involving law and order issues, violence or stolen packages.” 

The draft bill also requires aggregators to provide the Gig Workers Welfare Board a database of all gig workers onboarded with them. IAMAI said, “Mandating registration as well as implementing benefits for gig workers is inherently challenging due to the dynamic and fluid nature of gig work,”. 

IAMAI also has issues with the provision in the Draft Bill that gig workers may seek resolution of their disputes under the Industrial Disputes Act, 1947, and the proposed mechanisms of an aggregator's internal dispute resolution committee and a grievance redressal officer to be appointed by the State Government. It disputes the proposed penalties on defaulting on the provisions. 

IAMAI urged the government to “tone down” the Draft Bill’s points about transparency in automated monitoring and decision making systems so that it does not create “unrealistic expectations and obligations from aggregators”.