Upstart is primarily for managing system services. If you want to run an application as part of the user session, there are better tools.
Via the GUI
You can configure a startup application in a user's session by picking Startup Applications... from the cog menu in the top right of the screen, and then pick Add and fill in the details for gedit.
When you log in next time, the application should start with the session.
Manually
If you can't use the UI to configure this, it is possible to configure it by dropping a .desktop file in one of the autostart directories according to the Autostart specification:
http://standards.freedesktop.org/autostart-spec/autostart-spec-latest.html
If you want it to affect every user on the system, place the file in /etc/xdg/autostart. If you only want to affect a single user, place the file in ~/.config/autostart.
The .desktop file should look something like:
[Desktop Entry]
Type=Application
Exec=/usr/bin/gedit
Hidden=false
NoDisplay=false
X-GNOME-Autostart-enabled=true
Name=GEdit
Comment=
If you place the file in the user's home directory, make sure you set the execute bit on the file. This is part of a security measure to stop programs unintentionally writing working .desktop files due to bugs.