The Fourth Industrial Revolution is characterized by rapid advancements in automation and artificial intelligence (AI), which are reshaping labor markets and significantly impacting platform gig workers. While the technologies such as platform economy offer great solutions, their effectiveness depends on existing policies. The government plays a crucial role in establishing labor conditions and mediating relationships between employers and workers. However, inadequate regulatory involvement often leads to the perpetuation of informal and precarious work, leaving gig workers deprived of job security, benefits, and fair wages. In this context, a contractual analysis of platform gig economy with the technologies reveals significant challenges faced by these workers under current contractual arrangements. The lack of adequate protections within these contracts allows exploitative practices to persist, rendering workers vulnerable with limited opportunities for skill development and career advancements. This highlights the critical need to examine the implications of contractual agreements on workers’ rights in an AI-driven labor landscape. Addressing the informal labor issues and improving skill development are essential for managing the effects of AI on employment; by scrutinizing the contracts governing the platform gig work, stakeholders can identify the weaknesses and advocate for stronger labor protection. This integrated approach ensures that the benefits of new technologies do not exacerbate existing inequalities, ultimately creating a more equitable environment for gig workers. The findings confirm the importance of contractual analysis as a tool to empower workers and safeguard their rights in the evolving platform gig economy.