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Niti Aayog

UPSC CURRENT AFFAIRS | A REPORT ON INDIA’S GIG WORKFORCE WAS RELEASED BY NITI AAYOG | 29TH JUNE | THE HINDU

/ June, 2022, UPSC Daily Current Affairs

SYLLABUS SECTION: GS II (ECONOMY)

WHY IN THE NEWS?

According to the study release by Niti Aayog the number of workers engage in the gig economy,

This is estimate to be 77 lakh in 2020-21 and is expect to grow to 2.35 crore by 2029-30.

WHAT IS THE GIG ECONOMY?

  • A gig economy is a free market system in which temporary positions are common and organizations contract with independent workers for short-term engagements. It undermines the traditional economy of full-time workers who rarely change positions and instead focus on a lifetime career.
  • Self-employers, freelancers, independent contributors and part-time workers are includes in Gig economy workers.
  • According to report gig workers are classifies into platform and non-platform-base workers.
  • Platform workers are those whose work is base on online software apps or digital platforms.
  • Non-platform gig workers are generally casual wage workers and own-account workers in the conventional sectors, working part-time or full time.
  • The report notes that at present, about 47% of gig work is in medium skill jobs, about 22% in high skill, and about 31% in low skill jobs, and the trend shows the concentration of workers in medium skills is gradually declining and that of the low skill and high skill is increasing.
  • In 2020-21, the gig workforce constitute 2.6% of the non-agricultural workforce or 1.5% of the total workforce in India, by 2029-30, gig workers are expect to form 6.7% of the non-agricultural workforce or 4.1% of the total livelihood workforce in India

RECOMMENDATIONS BY NITI AAYOG

  • Introducing a ‘Platform India initiative’, on the lines of the ‘Startup India initiative’.
  • Access to institutional credit may be enhanced through financial products specifically designed for platform workers and those interested to set-up their own platforms.
  • It has suggested linking self-employed individuals to platforms so that they can sell their produce to wider markets.
  • Gender sensitisation and accessibility awareness programmes for workers and their families, extending social security for gig and platform workers in India, and conducting a comprehensive study on key aspects of the platform economy.

SOURCE: THE HINDU