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Source: The post is based on the article “Blink, It’s Not Gone – Ecommerce labour protests speak to the larger problem of not enough regular non-farm jobs” published in The Times of India on 17th April 2023.
Syllabus: GS 3 – Growth and Development
Relevance: concerns associated with gig platforms
News: The delivery executive of Blinkit has gone on strike in the National Capital Region. The strike is over Blinkit’s revised rates and benefits that drastically reduce minimum earnings on orders.
What are the issues with tech-driven commerce platforms?
Most of the commerce platforms aren’t profitable and depend on investor capital.
When investors demand profits or cash runs thin, these companies cut pay and benefits for their delivery executives. This ultimately affects the earnings of delivery agents and makes gig jobs less attractive.
Why are gig jobs preferred in India?
People often prefer gig platforms due to the lack of steady non-farm jobs.
As per Periodic Labour Force Survey 2021-22, most additional jobs in the country are being created in the self-employed category. This implies that there are not enough salaried jobs.
Hence, the young workforce in India is left with the choice between accepting low-paying gig work with poor working conditions or returning to their villages for unproductive farm work.
What can be the way ahead?
The economy needs to create many more regular jobs for the burgeoning workforce, especially in the manufacturing and services sectors. This will provide better working conditions for the young workforce.
