India stands at a definitive economic crossroads where the gig economy is no longer a fringe trend but a dominant force reshaping the labor market. A new comprehensive report by Primus Partners titled “Unlocking the Future” projects that the number of Indians engaged in gig work will surge to 23.5 million by 2030, marking a significant 22.5 per cent increase from 2021 levels.
This rapid expansion is driven primarily by a youth demographic that views platform-based work as an immediate source of income. However, the report issues a stark warning that without strategic intervention, this booming sector risks creating a “missing middle” in India’s growth story, leaving millions of young workers stuck between the insecurity of the informal sector and the exclusion of the formal economy.
The popular narrative often portrays gig work as a flexible, supplementary income stream, but the on-ground reality paints a different picture. The study reveals that for the majority of participants, gig work has effectively become a full-time commitment. Approximately 61 per cent of surveyed workers describe themselves as full-time employees who work eight hours or more daily.
When combined with those working at least five and a half days a week, more than half of the workforce is engaged in high-intensity schedules that leave little room for other pursuits. This intensity contradicts the “be your own boss” promise, as algorithmic management often penalizes downtime and dictates schedules through peak-hour incentives.
A critical concern highlighted in the report is the phenomenon of income stagnation. The average monthly earning for a gig worker hovers around ₹22,500. Crucially, the study finds that income growth in this sector is driven almost exclusively by working longer hours rather than by skill acquisition or role progression.
A worker can add approximately ₹2,500 to their monthly income by extending their workweek from five to six days, but tenure alone adds very little value without training. This creates a “low-skill trap” where young workers enter the workforce at 18 or 19 years of age to meet immediate financial needs but find themselves in the same entry-level roles years later with limited prospects for advancement.
The situation is further compounded by a severe lack of social protections. The report constructs a social security index which reveals that 31 per cent of workers have absolutely no protection, lacking both insurance and pension benefits. This leaves them incredibly vulnerable to economic shocks. The data shows that 84 per cent of workers without security fall into the “crisis risk” category, meaning they have no savings and are credit-constrained. In contrast, this risk drops to 36 per cent for workers who possess both insurance and savings-linked benefits.
Despite these challenges, the report emphasizes that gig work has the potential to be a structured ladder of opportunity rather than a dead-end. Nilaya Varma, Co-Founder and CEO of Primus Partners, notes that while the gig economy has created scale and flexibility, the next phase must focus on enabling skill development and income progression. The report advocates for a mobility-oriented redesign of the sector that includes age-aligned skilling ladders which recognize experiential learning. It also calls for legislative clarity to define gig workers under the Social Security Code and a tripartite governance framework involving the government, platforms, and worker representatives to ensure fair policy design. By implementing these strategic reforms, India can ensure that its millions of young gig workers are empowered to transition into sustainable livelihoods rather than remaining trapped in a cycle of low-wage volatility.
