- In the long run, the new labour laws could encourage more workers in shifting to the gig economy.
- Though meant to promote workers’ welfare, particularly in manufacturing, unforeseen consequences may do the opposite.
- Such laws may nudge more workers from full-time jobs to the gig economy.
The year 2020 has had unprecedented events, including the coronavirus crisis. Meanwhile, periodic lockdowns have disrupted almost all economic activity.
But one segment is working seamlessly – the gig or platform ecosystem. Gig platforms have helped harried employers and millions of out-of-work employees to keep things moving via short-term work assignments or project-based contracts. The flexibility of gig work is appealing for both workers and hiring firms.
Implications of New Laws
Now, however, India’s latest labour laws are poised to change the gig economy. In September, Parliament passed three crucial Labour Bills. Running into 300-plus pages with 411 clauses, they impact every employed person. Though meant to promote workers’ welfare, particularly in manufacturing, unforeseen consequences may do the opposite.
Source: CNBC TV18