PM-JAY Scheme for Gig Workers

Context:

The Ayushman Bharat PM Jan Arogya Yojana (PM-JAY) scheme's expansion to include 1 crore gig workers under the Union Budget for 2025-26 is a significant development for the gig economy in India. Here's a brief breakdown of the key highlights:

About PM-JAY Scheme for Gig Workers:

1. Coverage:

• PM-JAY will extend its benefits to gig workers, offering Rs 5 lakh cover per beneficiary family per year for hospitalization, including secondary and tertiary care in both public and private empanelled hospitals across India.

1. Identification & Registration:

• Identity cards will be issued to gig workers to facilitate access to the scheme.
• e-Shram registration will be streamlined to make it easier for gig workers to be part of the social security system.

Challenges Faced by Gig Workers:

• Accessibility: Gig economy work is often urban-centric due to the need for internet access and digital tools, leaving rural workers at a disadvantage.
• Job and Income Insecurity: Gig workers, who are usually paid on a per-task basis, lack labor rights such as minimum wages, paid leaves, or job security.
• Lack of Social Protection: Most gig workers do not have access to essential benefits like health insurance, Employee Provident Fund (EPF), and more.
• Algorithmic Management: Gig workers are often evaluated and pressured by algorithms based on ratings, leading to stress and job instability.

Initiatives Supporting Gig Workers:

1. Code on Social Security, 2020:

• This law envisions benefits like life and disability cover, accident insurance, and more for gig workers, ensuring some level of social security.

1. e-Shram Portal:

• A national database for unorganized workers, including gig workers, that aims to improve employability and provide access to social security schemes.

1. State-Level Initiatives:

• Rajasthan Platform-Based Gig Workers (Registration and Welfare) Act, 2023: Offers social security and benefits for platform-based gig workers.
• Karnataka Platform-Based Gig Workers (Social Security and Welfare) Bill, 2024: Establishes a welfare board and outlines measures like a welfare fee for the protection of gig workers.

Conclusion:

The inclusion of gig workers under PM-JAY and the initiatives addressing their social security needs mark a milestone in providing gig economy workers with much-needed health coverage and social protections. These steps reflect the government's ongoing efforts to recognize and support this growing workforce, especially as it expands rapidly in India.