Swiggy, Zepto, Urban Company challenge Karnataka gig worker law in High Court
Swiggy, Zepto, Eternal, Urban Company and IAMAI have moved the Karnataka High Court against the state's 2025 Platform Based Gig Workers Act, arguing repugnancy with the central Social Security Code and seeking to quash welfare-fee and dispute-committee notices. Hearings span May to July 2026.
What happened
Swiggy, Zepto, Urban Company, Eternal and IAMAI have moved Karnataka High Court challenging the state's 2025 gig worker law, citing repugnancy with the central
Key facts
- Karnataka Platform Based Gig Workers Act 2025
- Article 254
- Article 14
- July 5 2026
- June 22 2026
- May 21 2026
Why this matters
Monitor the May-July 2026 hearings as a precedent-setting test of state versus central authority over gig worker welfare that could reshape platform cost structures and consolidation dynamics across the sector.
What to watch
- HC interim order on welfare-fee stay (May-July 2026)
- Notification status of central Social Security Code rules
- Replication of Karnataka-style Acts in other states (Telangana, Jharkhand, Rajasthan)
- Any consumer-facing fee or platform-charge increases in Bengaluru
- Supreme Court transfer petition if multi-state litigation emerges
- Platforms seek interim relief to halt welfare-fee notices and dispute-committee proceedings
- IAMAI coordinates industry-wide legal position to deter copycat state legislation
- Karnataka files counter-affidavit defending state competence under concurrent list
- Platforms model fee pass-through scenarios and quietly adjust rider incentive structures
- Gig worker unions intervene as respondents to defend welfare provisions