Hyderabad: The Telangana Cabinet approved the Telangana Platform-Based Gig Workers (Registration, Social Security and Welfare) Bill, 2026, aiming to provide legal recognition, welfare, and regulation for gig workers.
The bill targets around 3 lakh gig and platform workers in Telangana. These workers operate in sectors such as transport, delivery, logistics, and home services.
Officials said workers often put in 10 to 12 hours daily without job security or insurance. Moreover, fluctuating commissions and opaque algorithms affect their earnings.
The government said there was no statutory system for social security, grievance redressal, or transparency. Therefore, it decided to introduce a comprehensive gig workers welfare bill.
Gig workers welfare bill introduces legal recognition and rights
The bill provides statutory recognition to gig workers for the first time in the state. It also proposes issuance of unique identification cards.
Workers will gain access to welfare schemes and basic protections. In addition, they will have rights to safe working conditions and transparency in payments and ratings.
The gig workers welfare bill mandates registration of both workers and platforms. Workers can self-register, while platforms must share data within 60 days. Aggregators must complete registration within 45 days.
The bill also ensures that platforms disclose how algorithms affect task allocation, incentives, and ratings. Communication must be in a language understood by workers.
Gig workers welfare bill sets up welfare board and fund
The legislation proposes a 20-member Social Security and Welfare Board. The Labour Minister will chair the board, which will include representatives from government, platforms, workers, and experts.
The board will have a tenure of three years and be headquartered in Hyderabad.
A dedicated welfare fund will support benefits such as accidental death relief, health coverage, and marriage assistance. The fund will include welfare fees from aggregators, government grants, CSR contributions, and donations.
The bill introduces a digital system to track welfare fee payments and ensure transparency.
Gig workers welfare bill strengthens dispute resolution
The bill outlines a structured grievance redressal mechanism. The government will appoint grievance officers, while platforms with over 100 workers must form internal committees.
An appellate system will function at the Deputy Commissioner level. The bill also mandates notice periods for contract changes and termination.
It prescribes penalties for non-payment of welfare fees, starting from Rs. 50,000 for the first offence and increasing for repeated violations.
Officials said the gig workers welfare bill aligned with provisions under the Code on Social Security, 2020. However, they noted that central rules were yet to be implemented.
The government said Telangana’s framework stood out compared to other states. It said Rajasthan and Jharkhand were yet to implement rules, while Karnataka and Tamil Nadu followed different models.
The bill aimed to position Telangana as a leader in gig worker governance. It also sought to improve labour relations and support data-driven policymaking.