Consumer Protection and Safety in the Gig Economy: Legal Responsibilities of Platforms in India

Abstract

This paper provides a comprehensive examination of consumer protection and safety in India’s rapidly growing gig economy. It begins with an introduction to the gig economy, defining gig workers and detailing their classifications into platform based and non platform based categories. The study proceeds to explore the growth drivers and benefits of this emerging employment sector, including flexibility, entrepreneurial opportunities and digital inclusion. A detailed analysis of the legislative framework follows, covering important laws such as the Consumer Protection Act, 2019 and the Code on Social Security, 2020, which together seek to regulate platform accountability and social security for gig workers. The judicial response section illustrates how Indian courts have increasingly held platforms liable for service deficiencies and consumer safety issues, marking significant progress in legal recognition and protection. Further, the paper undertakes a comparative analysis with other countries, shedding light on global best practices in ensuring consumer safety and gig worker protections and discusses how these lessons could guide India’s policy making. The conclusion synthesises the challenges and opportunities identified, emphasising the need for strengthened legal clarity, enhanced algorithmic transparency and robust grievance redressal mechanisms. Finally, the paper offers practical suggestions, including mandating platform responsibility for end to end service quality, extending social security to gig workers and promoting digital literacy among workers and consumers. Overall, this study provides a detailed and nuanced understanding of consumer protection in India’s gig economy, recognising the sector’s vital role in employment while advocating for stronger safeguards to ensure safety, fairness and sustainable growth.