In response to recent fuel price hikes, India's Gig and Platform Service Workers Union has announced a five-hour nationwide shutdown of app-based delivery and ride services, demanding immediate revision of per-kilometre rates to protect workers' earnings.

  • Five-hour shutdown called on Friday by gig workers union.
  • Fuel price hikes reaching Rs 97.77/litre in Delhi affecting earnings.
  • Union demands immediate hike in per-kilometre service rates.

What happened

The Gig and Platform Service Workers Union (GIPSWU) has initiated a nationwide five-hour strike scheduled from 12 pm to 5 pm on Friday. The shutdown involves delivery workers and drivers across app-based services protesting increased fuel costs and the failure to revise pay rates accordingly. The protest aims to highlight how recent petrol and diesel price hikes are severely impacting gig workers' incomes.

This collective action came after oil companies raised fuel prices by about Rs 3 per litre. In Delhi, petrol prices have soared to approximately Rs 97.77 per litre and diesel to Rs 90.67, largely due to geopolitical tensions and global crude oil price increases. The union emphasizes that the majority of gig workers operate two-wheelers and bear their own fuel and maintenance expenses, making them particularly vulnerable to rising fuel costs.

Why it matters

The union says that stagnant payment rates combined with rising operational costs are eroding gig workers' daily earnings, threatening their financial sustainability and potentially forcing many out of the sector. Considering that gig workers form a significant labor segment—approximately 12 million people nationwide—the economic impact is substantial both for individuals and the gig economy.

GIPSWU's demands include revising per-kilometre charges and delivery payments to ensure fuel cost increases do not disproportionately affect workers. They have formally petitioned the Indian government and key digital platforms like Zomato, Swiggy, Uber, Ola, and others to review pricing policies. The protest signals growing labor unrest in India's fast-expanding gig market where ride-hailing, delivery, and logistics workers often lack traditional employment protections.

What to watch next

The immediate focus will be on the impact of the planned Friday shutdown on app-based service availability and the response from government authorities and digital platform companies. Increased public and media attention may pressure platforms to reconsider their payment structures or foster government intervention to regulate fare adjustments.

Longer-term, this movement could catalyze broader negotiations on gig worker rights and compensation mechanisms tied to fluctuating fuel and operating costs. Monitoring any policy shifts, union negotiations, or subsequent protests will be critical to understanding how India’s gig economy adapts to inflationary pressures and labor demands amidst ongoing market and geopolitical uncertainties.

Source assisted: This briefing began from a discovered source item from Economic Times Tech. Open the original source.
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