Evaluate the role of digital platforms in reshaping employment relationships. Assess the governance challenges arising from the absence of a clear employer-employee framework. Outline measures to address these issues.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment.

Q6. Evaluate the role of digital platforms in reshaping employment relationships. Assess the governance challenges arising from the absence of a clear employer-employee framework. Outline measures to address these issues. (15 M)

Difficulty Level: Medium

Reference: IE

Why the question

The rapid expansion of the digital and gig economy has transformed traditional labour markets, raising concerns regarding worker welfare, labour rights and regulatory governance in platform-based employment.

Key Demand of the question

The question requires examining how digital platforms have altered employment relationships, analysing governance challenges arising from the absence of a clear employer-employee framework, and suggesting measures to ensure fair and sustainable platform work.

Structure of the Answer:

Introduction

Briefly highlight the growth of the platform economy and the emergence of new forms of work that blur conventional employment relationships.

Body

  • Role of digital platforms in reshaping employment relationships: Explain how platform-based models have transformed work arrangements, labour management and employment structures.
  • Governance challenges due to absence of employer-employee framework: Discuss issues relating to social security, accountability, worker rights and algorithmic management.
  • Measures to address the challenges: Suggest legal, institutional and policy interventions to balance innovation with worker protection.

Conclusion

Conclude by emphasizing that the future of the digital economy depends on creating a regulatory framework that safeguards workers while preserving the benefits of technological innovation.