Zomato terminates nearly 5,000 gig workers a month: Deepinder Goyal
The gig economy has been a topic of discussion in recent years, with many companies relying on temporary or contract workers to carry out their operations. One such company is Zomato, a popular food delivery platform that has been making headlines lately due to its treatment of gig workers. In a recent podcast, CEO Deepinder Goyal revealed that Zomato terminates nearly 5,000 gig workers every month, mainly due to fraud cases. This statement has raised concerns about the working conditions and job security of these workers.
According to Goyal, around 1.5-2 lakh workers leave voluntarily from Zomato’s 7.5-lakh workforce every month. To replace those exiting, the company onboards a similar number of new workers monthly. This high turnover rate is not unique to Zomato, as many gig economy companies face similar challenges in retaining their workforce. However, the fact that Zomato is terminating thousands of workers every month due to fraud cases is alarming.
Goyal’s statement came days after gig workers went on strike during New Year’s Eve over unfavourable working conditions. The strike was a response to the company’s decision to reduce the payout per delivery, which affected the earnings of the workers. The workers also demanded better working conditions, including more rest breaks and protection from harsh weather conditions.
The gig economy has been criticized for its treatment of workers, who are often classified as independent contractors rather than employees. This classification means that they are not entitled to the same benefits and protections as regular employees, such as minimum wage, paid time off, and workers’ compensation. Gig workers are also often required to work long hours without adequate rest breaks, which can lead to burnout and other health problems.
Zomato’s decision to terminate thousands of workers every month due to fraud cases raises questions about the company’s approach to managing its workforce. While it is understandable that the company needs to take action against workers who engage in fraudulent activities, the high number of terminations suggests that there may be a larger issue at play. It is possible that the company’s business model, which relies on a large and flexible workforce, may be contributing to the high turnover rate and the prevalence of fraud cases.
To address these issues, Zomato needs to take a more holistic approach to managing its workforce. This could include providing better training and support to workers, as well as implementing more effective measures to prevent fraud. The company could also consider offering more benefits and protections to its workers, such as minimum wage guarantees and paid time off. By taking these steps, Zomato can help to improve the working conditions and job security of its gig workers, which could lead to increased productivity and retention.
The issue of gig workers’ rights is not unique to Zomato or the food delivery industry. It is a broader issue that affects many companies and industries that rely on temporary or contract workers. As the gig economy continues to grow and evolve, it is essential that companies prioritize the well-being and dignity of their workers. This includes providing fair compensation, safe working conditions, and opportunities for advancement and growth.
In conclusion, Zomato’s termination of nearly 5,000 gig workers every month due to fraud cases is a concerning trend that highlights the need for better working conditions and job security in the gig economy. While the company’s business model may be contributing to the high turnover rate and prevalence of fraud cases, it is essential that Zomato takes a more holistic approach to managing its workforce. By providing better training and support, implementing effective measures to prevent fraud, and offering more benefits and protections to its workers, Zomato can help to improve the lives of its gig workers and contribute to a more sustainable and equitable gig economy.
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