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ILO Convention No. 193 on Decent Work in the Platform Economy

ILO Convention No. 193 on Decent Work in the Platform Economy:

At the 114th International Labour Conference in Geneva, the International Labour Organization (ILO) officially adopted Convention No. 193, titled “Decent Work in the Platform Economy”.

  • Passed by an overwhelming majority of 406 votes in favor (including nations like China, Brazil, Germany, France, South Africa, and Japan) it marks the world’s first legally binding international treaty specifically designed for app-based gig and platform workers.
  • Under the ILO’s tripartite voting framework (comprising government, employer, and worker representatives), India’s government delegates abstained, whereas both its employer and worker delegates voted in favor of the treaty.
  • ILO Convention No. 193, the world’s first legally binding treaty on gig and platform workers, establishes minimum labour standards such as fair wages, social security, occupational safety, and algorithmic transparency, while India abstained citing domestic legal and policy considerations.
  • As India’s gig economy expands rapidly, bridging the gap between existing laws and effective implementation through social security, algorithmic accountability, and balanced regulation will be crucial for ensuring inclusive and sustainable growth.
  • ILO Convention No. 193: Adopted in June 2026, ILO Convention No. 193 establishes a minimum floor of labour rights, including fair wages, social security, and workplace protections regardless of whether workers are classified as employees, independent contractors, or platform partners.
  • Key Provisions:
    • Guarantees minimum wages, timely payment, occupational safety and health, and social security.
    • Mandates algorithmic transparency, requiring platforms to explain automated decisions such as work allocation, wage determination, ratings, and account deactivation.
    • Requires human oversight in significant automated decisions.
    • Directs governments to classify workers based on the actual nature of work rather than contractual labels, preventing the misclassification of employees as independent contractors.
  • India’s government abstained, while its employer and worker delegates voted in favour, reflecting differing positions within the ILO’s tripartite system.
  • The Centre argues that the Code on Social Security, 2020 already provides a legal framework for gig and platform workers.
  • India generally ratifies ILO Conventions only after ensuring full alignment with domestic laws.
  • As labour is a Concurrent List subject, the Centre prefers retaining flexibility for States to frame their own labour regulations.
  • The Convention’s provisions on worker reclassification and algorithmic transparency could increase compliance costs, affect the platform business model, and discourage digital innovation.