December 30 2021: A study by Fairwork India has found “gig” workers in India suffer a decline in earnings during the Covid second wave.
The report titled 'Labour Standards in the Platform Economy' examines the working conditions of app-based gig workers and finds increases in their work-related costs (such as fuel costs and platform commissions) plus a long-term decline in the incomes of gig workers due to decreases in rate cards and incentives. Platform work provides essential income and opportunities to many. However, lacking protection from employment law or collective bodies, many platform workers face low pay, precarity, and poor and dangerous working conditions.
Walmart-owned e-commerce firm Flipkart has topped the list of Fairwork India Ratings. Flipkart, Urban Company, Big Basket and Swiggy have scored 7, 5 and 4 out of 10 respectively according to Fairwork India ratings. Mobility companies such as SoftBank-backed Ola, Porter and Uber were placed at the bottom of the list with zero scores each.
Eleven of the country’s most prominent platforms – Flipkart, Urban Company, BigBasket, Swiggy, Zomato, Amazon, Dunzo, PharmEasy, Ola, Porter, and Uber – were assessed against Fairwork’s Five Principles of Fair Work: Fair Pay, Fair Conditions, Fair Contracts, Fair Management, and Fair Representation. The 2021 Fairwork India scores range from 0 to 7, which highlights the great heterogeneity of labour practices in the Indian platform economy, with some platforms displaying greater concern for workers’ needs than others.
The economic and social impacts of the COVID-19 pandemic made 2021 a difficult year for the Indian economy generally, and gig economy workers specifically. Mobility restrictions meant a reduction in ride-sharing services while other forms of gig work, such as food delivery, have ballooned in the past year. Almost across the board, take-home pay has declined, even in sectors where demand has not been hampered by the pandemic.
While some of the lower Fairwork scores represent indefensibly poor working conditions, other platforms have made efforts to ameliorate at least some of their policies. Most significantly, BigBasket, Flipkart, and Urban Company committed to instituting a minimum wage floor (after work-related costs) for all their workers. Even though there is still a long way to go for fair conditions in the sector, such changes certainly represent steps in the right direction. That said, no platform scored all basic points across the five principles; nor did any achieve a point for Fair Representation. Despite an increase in instances of workers raising their collective voice, a corresponding willingness to recognize and negotiate with worker collectives among platforms is lacking.
With an increasing public awareness of platform workers’ precarious conditions, this report points clearly to the outstanding gaps in platform’s labour practices and the pressing need for improving working conditions in the Indian platform economy. The research for this report was carried out by the Fairwork India Team at the Centre for IT and Public Policy (CITAPP), International Institute of Information Technology Bangalore (IIITB), in partnership with the global Fairwork network.|
Ratings
The Fairwork India 2021 ratings evaluate the working conditions in 11 digital labour platforms, (Flipkart, Urban Company, BigBasket, Swiggy, Zomato, Amazon, Dunzo, PharmEasy, Ola, Porter, and Uber) against five global principles of fair work – Fair Pay, Fair Conditions, Fair Contracts, Fair Management, and Fair Representation. Each platform receives a fairness rating out of 10, with a basic and an advanced point per principle only awarded if there is clear evidence that the principle is fulfilled. Flipkart leads the table with 7 points, Urban Company follows with 5, BigBasket and Swiggy each score 4, Zomato achieved 3, Amazon, Dunzo and PharmEasy 1, and Ola, Porter and Uber earned 0 points.
Key findings:
READ THE REPORT here
Fairwork is committed to highlighting best and worst practices in the platform economy.In India Fairwork draws on the expertise and experience of researchers at the International Institute of Information Technology Bangalore