June 17:
A sudden crackdown by the Karnataka government on bike-taxi operations has left over one lakh workers unemployed overnight, sparking widespread outrage and raising concerns about the future of gig economy jobs in the state. The ban, implemented by the Karnataka Transport Department, prohibits the use of two-wheelers for commercial ride-sharing services provided by platforms such as Rapido and Uber Moto.
Authorities cited legal and safety violations under the Motor Vehicles Act as the basis for the ban, stating that private bikes cannot be used for commercial purposes unless they are registered as transport vehicles. As enforcement intensified across major cities like Bengaluru, several riders reported having their bikes seized and facing hefty fines without prior notice.
The move has triggered significant backlash from gig workers, many of whom depend solely on bike-taxi platforms for their daily income. “There was no prior warning. We logged into the app this morning and saw it was not functioning. I have a family to feed and no other source of income,” said Mohan R., a 28-year-old Rapido rider from Bengaluru.
Industry estimates suggest that more than 100,000 workers across Karnataka — including students, part-time earners, and low-income individuals — have been affected by the sudden prohibition. The app-based bike-taxi sector had gained rapid popularity over the last few years, especially for its affordability and convenience in congested urban areas.
Ride-hailing companies have expressed disappointment over the government’s decision and urged for a collaborative solution. In an official statement, Rapido said it is engaging with the authorities to find a path forward and requested that the livelihood of thousands of rider-partners not be jeopardized.
Policy experts and digital labor rights organizations have also criticized the move, describing it as a regressive step that undermines employment opportunities in the growing gig economy sector. “Instead of modernizing laws to reflect changing work patterns, the government is shutting down one of the few accessible income avenues for thousands of citizens,” said Anjali Menon, a labor policy researcher.
The state government, however, maintains that the decision is aimed at upholding legal norms and ensuring passenger safety. Transport officials clarified that commercial activities using non-transport registered vehicles are illegal, and bike-taxi operators were repeatedly warned to comply with regulations.
Opposition leaders have condemned the ban, accusing the ruling government of failing to provide alternative solutions or social protection to those affected. Protest demonstrations have already begun in various parts of Bengaluru, with gig workers demanding either a rollback of the ban or an immediate relief plan.
The development comes amid a broader national debate on regulating the gig economy, which employs millions across sectors like transport, food delivery, and logistics. With livelihoods hanging in the balance, stakeholders are now calling for urgent policy reform to bridge the gap between traditional regulatory systems and the realities of app-based work.
