The Karnataka High Court has granted interim relief to ride-hailing company Uber in its legal challenge against the state’s 2025 Gig Workers Act. Justice Suraj Govindaraj issued a notice to the Union government, the Karnataka state government, and the Karnataka Platform-Based Gig Workers Welfare Board, directing them to respond by late August. This development follows similar legal actions taken by other major platforms like Swiggy and Zomato, which are also contesting the law’s requirements.
At the heart of the dispute is the Karnataka Platform-Based Gig Workers (Social Security and Welfare) Act, 2025. The law aims to provide social security and welfare benefits to gig workers by mandating that aggregator platforms contribute a specific welfare fee for every ride or delivery. Uber, along with other industry players, argues that the state-level legislation creates a parallel social security framework that conflicts with the federal Code on Social Security, 2020, potentially leading to redundant financial obligations.
Under the court's interim order, Uber is protected from any coercive action by the state government, provided it deposits the required welfare contributions with the court registry. The court granted the company a three-week window to comply with this payment, acknowledging that Uber had filed its petition after the initial deadline. This arrangement mirrors the protection previously extended to other food delivery and quick-commerce platforms.
This legal battle highlights the ongoing tension between state-level efforts to regulate the gig economy and existing federal labor frameworks. As the court prepares to hear the consolidated petitions, the outcome will likely set a significant precedent for how gig worker welfare is funded and managed across India. The next hearing in the matter is scheduled for August 14, 2026, with further responses expected by August 24.