Once viewed as an alternative employment model, the gig economy has now become a strategic workforce lever. In India alone, projections from NITI Aayog suggest more than 23 million gig workers by 2029–2030, contributing across tech services, logistics, design, content, and customer experience.

Gig platforms enable agility, reduce overheads, and widen access to talent. But with scale comes scrutiny — especially when the systems powering this model embed invisible biases that disproportionately harm women, minorities, and underserved communities.

Algorithmic management is efficient, but not always fair

Today's digital labour platforms, from global players like Upwork and Uber to domestic giants like Urban Company and Zomato, are governed by algorithms that handle everything from onboarding to performance evaluation.

But they are not neutral, for example a Bengaluru-based female delivery worker is penalised for refusing late-night orders, resulting in fewer gigs due to reduced ‘availability scores’. Further, a freelancer from a Tier-2 city receives fewer job matches because their accent doesn’t fit the ‘preferred profile’ set by clients or platform defaults.

Further, a Harvard Business School study points that gig workers from non-dominant backgrounds are more likely to be penalised by automated decision-making systems, despite equal performance. 

The numbers don’t lie: Inequity is built into the system

There are studies that reveal systemic bias shapes the gig economy across geographies. From the US to India, studies show that race, gender, and geography significantly influence earnings, job quality, and opportunity — underscoring the urgent need to design more equitable platform-based work ecosystems. 

According to IndiaSpend, only 11% of gig workers in India were women in 2023, and many of them were in low-paying, high-risk roles like food delivery or domestic work. It suggests a significant gender disparity within India's gig economy, where a small percentage of women were represented in the workforce, and those who are often find themselves in roles that offer low wages and pose risks. 

Further, a study by Brookings Institution highlights a trend where minority and rural workers are disproportionately represented in physically demanding jobs and underrepresented in remote, high-income digital roles. 

So, you're potentially drawing from a limited and unequal talent pool, leaving both human potential and business opportunity untapped.

Illusion of neutral tech: How bias hides in the code

There is a misconception that algorithms are objective. But in reality, algorithms learn from historical data, which is often riddled with human bias.

Bias creeps in these ways: 

• Ratings bias: Customers routinely rate women and minority workers lower, even for identical service quality. A Cornell University study on rideshare platforms confirms this pattern.

• Geographic filtering: Workers in affluent or metro areas are more likely to get high-paying gigs.

• Language & accent discrimination: Freelancers with regional or non-Western accents are often deprioritised on global platforms.

These seemingly minor design choices can amplify systemic inequality at scale, impacting livelihoods, morale, and your brand’s ethical footprint.

Why this matters to the C-Suite & what to do about it

The gig workforce is no longer a peripheral element — it’s a core component of your talent ecosystem, whether through direct engagement or third-party vendors. As your business increasingly relies on flexible talent models, overlooking equity and inclusion in this segment introduces critical risks: brand damage in an age of transparency, missed innovation due to lack of diversity, and growing regulatory exposure as AI bias audits and labour fairness standards gain momentum globally, including in India.

Forward-looking leaders must act now to future-proof their workforce strategy and uphold inclusive values across all employment models. Here’s where to start:

• Audit the bias: Expand your DEI lens beyond payroll employees. Conduct comprehensive audits across gig vendors, freelance networks, and platform partners to uncover disparities in access, compensation, and representation.

• Demand ethical algorithms: Insist on transparency from vendors and platforms using AI or algorithmic decision-making. Require fairness metrics, bias testing, and corrective actions to prevent exclusionary outcomes.

• Build inclusive pathways: Collaborate with platforms, NGOs, and training institutions to upskill underrepresented gig workers, especially women, LGBTQ+ individuals, and rural youth — for higher-value roles in your extended workforce.

• Champion platform reform: Use your purchasing power to influence gig platforms. Advocate for inclusive hiring practices, equitable pay structures, and diversity accountability as part of your vendor evaluation and procurement processes.

Diversity doesn’t end at the payroll

Too often, corporate DEI is confined to internal employees — excluding gig workers who keep the engine running behind the scenes. That’s no longer tenable. The future of work is hybrid, distributed, and platform-powered. If your equity strategy doesn’t include the gig workforce, it’s incomplete. 

Meanwhile, companies like Uber have already adjusted driver rating systems after internal reviews showed consistent bias against women and Black drivers. Upwork has launched visibility features to highlight freelancers from underrepresented groups, showing that algorithms can be used to level the playing field, not just optimise it. But isolated fixes aren’t enough. We need a collective redesign by platforms, corporates, policymakers, and communities alike.

Architecting an equitable gig economy starts at the top

If we want the gig economy to fulfil its promise of opportunity, we must root out digital discrimination and ensure fair access for every worker — regardless of gender, race, or geography. For CHROs and CXOs, this is not a side issue. It’s a leadership challenge. One that requires rethinking procurement, pushing tech accountability, and embedding fairness into every part of your workforce strategy.