Gig workers and freelancers are a growing part of the workforce. They include delivery drivers, online tutors, designers, app developers, ride-share drivers, and many more. These independent workers do not have traditional full-time jobs with fixed salaries or employer-provided benefits. So, when the economy slows down or a crisis like a pandemic hits, they’re often the first to feel the impact.
Governments around the world, including in the U.S. and India, have realized that these workers need special support. Over the last few years, stimulus packages have been introduced to offer financial help to freelancers and gig workers. But the big question is: What support is available, and how can independent workers benefit from it?
Understanding the Challenges Faced by Gig Workers
Unlike regular employees, gig workers don’t receive monthly paychecks, health insurance, or paid leave. Their income depends on demand, which can change suddenly. During crises like COVID-19 or inflation spikes, their work may reduce sharply, leading to low income and financial stress.
Most gig workers also face difficulties like:
- No access to unemployment benefits
- No job security or savings
- Higher risk during public health or economic emergencies
- Limited access to social security schemes or pensions
In many cases, government policies were not designed to support this growing workforce—until recently.
How Stimulus Programs Have Helped Freelancers and Gig Workers
To address these gaps, several governments have launched stimulus and relief programs specially designed for non-traditional workers. Here are a few key examples:
- United States – CARES Act (2020)
The U.S. government introduced the Pandemic Unemployment Assistance (PUA) program under the CARES Act. This allowed freelancers, independent contractors, and self-employed people to apply for unemployment benefits for the first time. Gig workers also received stimulus checks directly deposited in their accounts. - India – e-Shram Portal and PM SVANidhi Scheme
In India, the government launched the e-Shram portal to register unorganized workers, including gig workers, and provide access to welfare schemes. The PM SVANidhi scheme offered loans to street vendors and small freelancers to support their income. - Digital Platforms
Some gig platforms (like Uber, Swiggy, Fiverr, and Upwork) provided emergency funds, insurance, or bonuses during hard times. These were not official stimulus funds but were a form of private support.
These efforts helped reduce financial pressure and gave freelancers a safety net—something they lacked before.
Gig workers and freelancers play a major role in today’s digital and service-based economy. However, they often fall outside the safety net that protects regular employees. Stimulus programs, when designed inclusively, can provide critical support during tough times. Governments are now starting to recognize the importance of supporting gig workers with proper policies, relief packages, and social protections.
Moving forward, it is essential to create permanent systems—like unemployment insurance, pension plans, and health benefits—for freelance and gig economy workers. That way, when the next crisis hits, no one is left behind.
Table: Summary of Stimulus Support for Gig Workers
| Country | Program/Initiative | Type of Support | Eligibility |
|---|---|---|---|
| USA | CARES Act – PUA & Stimulus | Unemployment benefits, direct payments | Freelancers, gig workers |
| India | e-Shram Portal | Access to welfare & government schemes | Unorganized/gig workers |
| India | PM SVANidhi Scheme | Micro-loans for small vendors/freelancers | Street vendors, freelancers |
| USA & Global | Digital Platforms | Emergency funds, health support | Gig workers on those platforms |
FAQ’s:
Q1. What is a gig worker?
A1. A gig worker is someone who works independently or on short-term contracts, like delivery drivers, online tutors, or freelance writers. They are not full-time employees of any company.
Q2. Why do gig workers need stimulus support?
A2. They don’t get regular salaries or benefits like full-time workers. During a crisis, they may lose work quickly and have no savings or insurance to rely on.
Q3. Did the U.S. government give any relief to freelancers?
A3. Yes. Under the CARES Act, freelancers could apply for unemployment benefits and also received stimulus payments.
Q4. What help is available for Indian gig workers?
A4. The Indian government launched platforms like e-Shram to connect gig workers to benefits, and schemes like PM SVANidhi to offer small business loans.
Q5. How can freelancers prepare for future financial problems?
A5. They should try to save regularly, invest in personal insurance, stay informed about relief programs, and register with government platforms that offer benefits.
