Karnataka Budget 23-24: CM Siddaramaiah announces ₹4 lakh insurance coverage for e-commerce delivery employees

Karnataka's Chief Minister Siddaramaiah, while unveiling the budget for the fiscal year 2023-24, has introduced a notable provision. The budget now includes a provision for life and accident insurance, offering coverage of 4 lakh to e-commerce delivery personnel associated with renowned platforms like Swiggy, Zomato, and Amazon. 

“In order to provide social security to the ‘Gig Workers’ in the unorganised sector, i.e., employed as full time/part time delivery personnel in e-commerce companies like Swiggy, Zomato, Amazon, etc., insurance facility of total of RS.4 lakh will be provided which includes, life insurance of Rs. 2 lakh and accidental insurance of ₹2 lakh. The entire insurance premium will be borne by the government,” announced Siddaramaiah.

In response to the persistent demand from the union representing gig workers, the Karnataka Budget has introduced a provision that addresses their concerns regarding the informal and uncertain nature of their employment. The government recognizes the need to establish a social security net to support these workers.

As defined by NITI Aayog, gig workers are individuals engaged in work that falls outside the conventional employer-employee arrangement. Understanding the unique challenges faced by this workforce, the government has taken this significant step to provide them with the necessary support and protection.

Karnataka CM Siddaramiah presented his 14th budget in the state Vidhana Soudha on Friday. CM Siddaramiah informed that the state government is expecting a total expenditure of  ₹2,50,933 crores, a capital expenditure of ₹54,374 crore and loan repayment of ₹22,441 crores is expected. 

Siddaramaiah while presenting the budget in the state assembly informed that government will provide an additional financial aid of ₹4,000 to ₹5,000 a month to each household through the five poll guarantees promised in the Congress party's manifesto. The five guarantees will cost the exchequer approximately ₹52,000 crore annually and are expected to benefit around 1.3 crore families