India’s gig economy is undergoing a rapid transformation, emerging as a critical pillar of the country’s labor market. With an estimated 7 million gig workers in 2021 projected to rise to 23.5 million by 2030, gig work is expected to contribute around 2.5% to India’s GDP. Driven by technology, a young workforce, and changing work preferences, gig jobs are reshaping traditional employment models.
From delivery riders to freelance coders and vendors at large gatherings like Mahakumbh 2025, gig workers are becoming indispensable to both urban convenience and rural opportunity—marking a shift toward a more flexible and inclusive economy.
Image Credit: Pixabay
Traditionally, full-time employment has been seen in India as the most respectable and stable form of earning a livelihood. However, with changing times, a rapidly growing population, and the increasing demand for diverse services, gig jobs have emerged as an essential and impactful part of everyday life. From a delivery rider juggling two or three jobs a day to a freelance technician providing on-demand services, gig workers often become lifelines — whether for a working mother managing a household or a programmer stuck in a 9-to-5 corporate routine.
This raises an important question: When did gig jobs gain momentum, and more fundamentally, what exactly is a gig job? The term “gig” typically refers to flexible, short-term work arrangements — including part-time roles, contract-based assignments, and on-demand services that function on an “as and when required” basis. While increasingly popular in India, these jobs are characterized by independent contractors and freelancers, rather than traditional full-time, permanent employees. The gig model offers flexibility for workers and scalability for businesses, reshaping the very definition of employment in today’s fast-paced economy.
Gig work isn’t confined to technical jobs or freelance services, it also flourishes around large-scale events like religious gatherings, weddings, and festivals. Take Mahakumbh 2025, for example: over its 45 days, the event attracted millions of pilgrims and created approximately 1.2 million temporary jobs across sectors like tourism, transportation, healthcare, and retail. Many earned their livelihoods by selling essentials or providing services such as ritual facilitation, garment sales, toy stalls, food kiosks, photography, boat rides, bike rentals, and more. Although these gig workers are often underpaid, their role in enhancing urban convenience and bolstering economic resilience is unmistakable.
India currently ranks fifth globally in terms of the size of its gig economy workforce and is projected to climb to third place by 2030. The number of gig workers is expected to grow by approximately 200%, contributing around 2.5% to the country’s GDP. From an estimated 7 million workers in 2021, the gig workforce is anticipated to reach 23.5 million by 2030 — a clear indication of the sector’s rapid expansion and growing importance in India’s economic landscape.
According to Dr. Shalin Maheshwari, Chairman & Co-founder at Meraqui Group – “Gig jobs in India have gone from a side hustle to a lifeline for millions in just a decade. What kicked off with ride-hailing apps has ballooned into a sprawling network across so many services now.”
The gig economy primarily comprises three key stakeholders: companies that hire gig workers, the workers themselves, and the government, which acts as a facilitator and regulator. In India, gig workers are broadly classified into two categories — platform and non-platform workers. Platform workers engage in tasks through digital platforms such as Uber, Rapido, Swiggy, Blinkit, and Urban Company. In contrast, non-platform gig workers are involved in part-time or full-time roles within traditional sectors, including casual wage work such as construction, handicrafts, tailoring, domestic help, and street vending.
India offers a fertile ground for the growth of the gig economy, driven by a unique blend of technological, social, and economic factors. Several key elements contribute to the rise of non-traditional work arrangements:
Although gig jobs have recently gained popularity, several key challenges must be addressed to streamline the gig workforce and accelerate its growth. These include:
Dr Maheshwari believes that “Gig life is a double-edged sword as for every story of freedom and extra cash, there’s another of brutal hours, algorithm-driven stress, and zero safety nets.” “The future hinges on a brutal truth: we’ll need to ensure fairness for gig workers, and that won’t happen automatically. Without mindful intervention, gig workers risk becoming a digital underclass, always one bad rating away from ruin”, he adds. He further suggests that “smarter systems and policies: transparency in contracts, mandatory health coverage, transparent pay structures, and accident insurance can further boost it and make it humane.”
Dr Maheshwari believes that “Gig life is a double-edged sword as for every story of freedom and extra cash, there’s another of brutal hours, algorithm-driven stress, and zero safety nets.”
“The future hinges on a brutal truth: we’ll need to ensure fairness for gig workers, and that won’t happen automatically. Without mindful intervention, gig workers risk becoming a digital underclass, always one bad rating away from ruin”, he adds.
He further suggests that “smarter systems and policies: transparency in contracts, mandatory health coverage, transparent pay structures, and accident insurance can further boost it and make it humane.”
The global gig workforce is projected to surpass 1.6 billion, accounting for approximately 12% of the global job market. This growth highlights the rising demand for flexible, project-based employment that the gig economy enables. As the trend gains momentum, gig platforms are expected to become more specialized, catering to specific industries and offering a broader range of services. This evolution will not only reshape the future of work but also drive innovation and create new opportunities for individuals seeking greater autonomy and flexibility in their careers.
As businesses increasingly embrace the flexibility of the gig economy, many are adopting a hybrid workforce model that blends gig workers with full-time employees to foster diverse and collaborative teams. This approach promotes a culture of continuous learning, knowledge exchange, and adaptability. Gig workers bring specialized expertise and fresh perspectives, while full-time staff offer stability and in-depth organizational knowledge. Together, they drive innovation and enable companies to build agile teams that can swiftly respond to evolving market demands.
With the expansion of the gig economy, businesses are expected to increasingly depend on specialized online platforms tailored to specific industries like healthcare, design, technology, and marketing. These platforms will facilitate precise matching between project-based opportunities and workers with niche, in-demand skills, thereby improving work quality and streamlining the hiring process. By focusing on targeted sectors, such platforms can more effectively connect employers with talent that meets the exact qualifications and expertise needed for each assignment.
Commenting on the current landscape of India’s gig economy, V Suresh, CEO, Foundit said – “India’s white-collar gig economy is witnessing unprecedented momentum, with 6.8 million professionals now part of this dynamic workforce. Over the past two years, the segment has grown by 54%, signaling a fundamental shift in how skilled talent engages with work.” “What’s especially noteworthy is the surge in gig opportunities across tier-2 and tier-3 cities, driven by digital adoption, remote work models, and access to specialised platforms. As businesses increasingly tap into this agile and distributed talent pool, the gig economy is emerging not just as an urban trend but as a nationwide movement reshaping India’s professional landscape”
Commenting on the current landscape of India’s gig economy, V Suresh, CEO, Foundit said – “India’s white-collar gig economy is witnessing unprecedented momentum, with 6.8 million professionals now part of this dynamic workforce. Over the past two years, the segment has grown by 54%, signaling a fundamental shift in how skilled talent engages with work.”
“What’s especially noteworthy is the surge in gig opportunities across tier-2 and tier-3 cities, driven by digital adoption, remote work models, and access to specialised platforms. As businesses increasingly tap into this agile and distributed talent pool, the gig economy is emerging not just as an urban trend but as a nationwide movement reshaping India’s professional landscape”
As India embraces the future of work, the gig economy stands at the intersection of innovation, opportunity, and policy evolution. From grassroots movements led by organisations like the Bharatiya Mazdoor Sangh to the government’s progressive steps through the Code on Social Security and the 2025-26 Union Budget, the foundation is being laid to protect and empower gig workers. Initiatives such as unique ID cards, formal registration via the e-Shram portal, and access to healthcare are not just symbolic—they represent a shift toward inclusivity and formalisation.
While challenges like income instability and lack of legal protections persist, the growing recognition of gig workers’ contributions signals a promising future. With sustained reforms, targeted skilling initiatives, and collaborative efforts between government, industry, and civil society, India has the potential to lead the way in building a resilient, equitable, and inclusive gig economy.
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