Under the Code on Social Security, 2020, an aggregator may be required to contribute towards social security schemes for gig workers and platform workers, and such contribution shall be at a rate not exceeding what proportion of the annual turnover of the aggregator?

Section 114 read with the Seventh Schedule of the Code on Social Security, 2020 provides for the framing of social security schemes for gig workers and platform workers, funded partly by contributions from aggregators. The contribution to be paid by an aggregator shall be at such rate, not exceeding two per cent, but not less than one per cent, of the annual turnover of the aggregator. However, this contribution is capped so as not to exceed five per cent of the amount paid or payable by the aggregator to the gig workers and platform workers. The Seventh Schedule lists the categories of aggregators, such as ride-sharing, food and grocery delivery, and e-marketplace services. This is a landmark provision extending social security to the previously uncovered gig and platform economy.