The gig workforce is also expected to contribute ₹2.35 lakh crore to GDP by 2029-30, the survey added.
The gig economy, encompassing delivery, ridesharing, and freelancing, has witnessed structural growth, transitioning informal jobs into ecosystem-integrated roles,” the economic survey said.
The survey attributed the rise of the gig workers to increased smartphone penetration while highlighting the growth in the number of workers over the last few years.
“From 77 lakh workers in FY21, the sector witnessed a 55% increase to 120 lakh workers (1.2 crore) in FY25, driven by smartphone penetration among over 80 crore users and 15 billion UPI transactions per month,” it said.
It said that the gig workforce now represents 2% of the total workforce in India and the growth of the gig workers outpaces overall employment.
Read more: Economic Survey 2026 Live Updates
“Now representing over 2% of the total workforce in India, growth of gig workers outpaces overall employment,” it added.
Low income in gig economy
Even though the rate of gig workforce is increasing, the earnings of the gig workers remain low. The survey pointed out that about 40% of gig workers earn below ₹15,000 per month.
Limited skilling and fears of job losses due to technological advances such as artificial intelligence (AI) and machine learning (ML) add to worker vulnerability, it said.
The Survey projected that the share of high-skilled gig workers is expected to be 27.5% by 2030, while for low-skilled workers, it is projected to be 33.8% by 2030, flagging concerns about productivity, wage growth and upward mobility within the sector.
Gig employment across sectors
The Economic Survey 2026 outlined the employment of gig workers across various sectors, noting that the e-commerce is the largest gig employer with 37 lakh workers, followed by logistics at 15 lakh. BFSI and manufacturing sectors employ 10 lakh workers each.
Retail employs over seven lakh workers, transportation six lakh, IT five lakh. Sectors such as healthcare, construction, education and ITeS each employ around 3 lakh workers, the survey data showed.
Read more: Economic Survey 2026 warns of uncertainties as India attempts to solve AI-labour puzzle
While gig employment is growing faster than formal jobs, the survey warns that social security coverage remains patchy. Limited access to formal credit, driven by “thin-file” financial profiles, and increasing dependence on platform algorithms that determine pay, work allocation and ratings have raised concerns over bias, burnout and job quality.
The survey further said that the new Labour Codes formally now recognise gig workers for first time, extending social security and benefit portability.
Aggregators to contribute 1-2% of turnover to welfare funds, capped at 5% of payouts, it said, adding that now the gig workers are covered under pensions, insurance and maternity benefits.
The broader message from the Survey is clear: while the gig economy is becoming a key driver of employment and growth, the next phase must focus on making gig work a choice rather than a compulsion.
