Summary: The Tamil Nadu government has announced a ₹20,000 subsidy for gig workers purchasing new electric scooters, benefiting 2,000 registered workers. Additionally, a group insurance scheme will provide financial support in cases of accidental death or disability for approximately 1.5 lakh gig workers. To improve working conditions, rest lounges with essential facilities will be set up in major cities like Chennai and Coimbatore. These initiatives, introduced in the 2025-26 state budget, aim to enhance the welfare and security of gig economy workers. Experts have welcomed the move while advocating for further improvements in working conditions.
Tamil Nadu Announces ₹20,000 E-Scooter Subsidy and Social Security Measures for Gig Workers
Table of Contents
Substantial Subsidy for E-Scooter Acquisition
Recognizing the pivotal role of gig workers in the modern economy, the state has introduced a subsidy of ₹20,000 for the purchase of new electric scooters. This initiative targets 2,000 registered members of the Tamil Nadu Platform-Based Gig Workers Welfare Board, facilitating a transition to more sustainable and cost-effective transportation options. Finance Minister Thangam Thenarasu emphasized this measure as a commitment to supporting the burgeoning gig economy workforce. economictimes.indiatimes.com+3trak.in+3energy.economictimes.indiatimes.com+3
Enhanced Social Security Measures
To further safeguard the interests of gig workers, the government is launching a group insurance scheme. This program is designed to provide compensation in cases of accidental death or disability, extending benefits to approximately 150,000 workers across the state. Such a comprehensive safety net underscores the administration’s dedication to the social security of its labor force. m.economictimes.com+3moneycontrol.com+3economictimes.indiatimes.com+3reuters.com
Establishment of Worker-Friendly Lounges
Addressing the need for adequate rest and recuperation spaces, the government plans to set up lounges equipped with essential facilities in major metropolitan areas, including Chennai and Coimbatore. These lounges aim to offer gig workers comfortable environments to rest between assignments, thereby improving their overall working conditions. trak.in
Expert Opinion
K.C. Gopikumar, head of the Tamil Nadu Food and Allied Products Delivery Workers Union, lauded these initiatives as significant strides toward improving the welfare of gig workers. He advocated for broader inclusion and enhanced working conditions, such as the provision of paid leave, to further uplift this essential segment of the workforce. reuters.com+1hindustantimes.com+1
Tamil Nadu’s proactive measures reflect a deep understanding of the evolving employment landscape and the necessity to support non-traditional workers. By implementing subsidies, insurance schemes, and dedicated rest areas, the state sets a commendable precedent in recognizing and addressing the unique challenges faced by gig workers.
Entrepreneur Edge delivers insightful and credible business and startup news, keeping you informed on market trends, innovations, and industry shifts, under the leadership of Editor-in-Chief Ankur Srivastava.
Check out more on Startup News and Startup Funding News. Stay connected with us across all our social media platforms: Facebook, Instagram, LinkedIn, X (formerly Twitter), Google news and Join Our Community.
Last Updated on Saturday, March 15, 2025 1:58 pm by Sai Jyothi