HYDERABAD: Gig and platform workers have urged the Centre, Reserve Bank of India (RBI), National Payments Corporation of India (NPCI) and digital payment platforms to ensure that the proposed Merchant Discount Rate (MDR) on select UPI transactions does not result in deductions from workers’ earnings.
The demand comes amid a reported framework proposing a 0.4% MDR on selected person-to-merchant (P2M) UPI transactions above 2,000, with the charge capped at Rs 300 for transactions of Rs 75,000 and above.
The workers said any payment-processing cost should not be passed on to cab and auto drivers, delivery workers or other platform workers. They said workers should not face reduced trip earnings or delivery payouts, deductions from incentives, settlement charges, additional platform fees, hidden commissions or other charges as a result of MDR.
Telangana Gig and Platform Workers’ Union (TGPWU) founder-president Shaik Salauddin sought complete transparency from aggregators and payment intermediaries on who would bear the MDR, whether any amount would be deducted from workers and how worker settlements would be protected.