MediaNama’s Take: Karnataka is among the first Indian states to legally require algorithmic transparency in gig work. The law acknowledges the influence of platform algorithms on how work is distributed, how much workers earn, and whether they remain active on the app. During the Assembly debate, Labour Minister Santosh Lad said gig workers were being deactivated without explanation or pay, highlighting how algorithmic decisions directly affect livelihoods.
Section 13 of the law tells platforms to explain how their automated systems affect fares, ratings, and task assignments. These explanations must be given in “simple language,” but the law does not define what that means. Is a list of variables enough? Will workers get real examples or just vague categories? Without clarity, platforms could offer technical or generic responses that appear compliant but explain nothing.
The law leaves enforcement unclear. It doesn’t specify who will check disclosures. It imposes low fines starting at Rs.5,000 but says nothing about vague responses. Authorities rarely enforce such penalties under labour laws like the Code on Social Security, 2020. Platforms often cite trade secrets to avoid revealing key details.
There is also a definitional loophole. By limiting its scope to systems that operate “by automated means,” the law may let platforms argue that even minimal human input exempts them from disclosure. This could weaken the requirement at its foundation.
The government says it is building software to monitor payments. But there is no corresponding system to check how platforms explain their algorithms. Workers still have no right to appeal a rating, request a human review, or challenge an unfair decision.
Karnataka has taken an important first step. But unless the state defines what “simple” means, enforces the rule, and protects workers who ask for transparency, this right will remain mostly symbolic.
What’s the News
On August 19, the Karnataka Assembly passed the Platform-Based Gig Workers’ Social Security and Welfare Bill, 2025. The law introduces a broad regulatory framework for gig and platform-based work in the state, covering issues such as social security, working conditions, payout fairness, and platform accountability.
For the first time in Karnataka, the law brings algorithmic systems into the conversation on gig workers’ access to work and income. The bill also includes clauses on automated decision-making, transparency, discrimination, and account deactivation.
What the Law Requires
Section 13 of the law requires platforms to inform gig workers, using simple language and in a language known to them, such as Kannada, English, or any other language listed in the Eighth Schedule, about the procedure to seek information on automated monitoring and decision-making parameters.
These parameters must relate to factors that affect working conditions, including fares, earnings, customer…
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