Layoff! Zomato Fires About 600 Employees Across Gurugram And Hyderabad Office: Report

Zomato, the online food delivery giant, laid off at least 600 customer support employees within a year of hiring them, according to the news portal Moneycontrol, citing sources familiar with the matter on Tuesday, April 1.

The news report claims that Zomato's decision to cut jobs is due to the poor performance of the company. Its food delivery business is not growing as fast as expected, and its subsidiary grocery delivery platform, Blinkit, is also facing loss. Sources aware of the situation mentioned that termination was linked to bad performance and issues like lack of punctuality, among other possible factors. Essentially, the company decided to let these employees go for not meeting the required standards in their work.

Layoff in Gurugram And Hyderabad Offices:

The food delivery company filled about 1,500 customer support roles through the Zomato Associate Accelerator Program (ZAAP) one year ago, according to the report. The layoffs have occurred across Gurugram and Hyderabad, leading to growing concerns among the remaining employees about the security of their jobs.

"A majority of employees hired under Zomato's ZAAP program last year have been let go over the last week or so without any clear explanation. This has taken place across their offices in Gurugram and Hyderabad. The atmosphere has become really tense," said a current customer support associate to the news portal.

As per the report, the customer support employees who were laid off received compensation equivalent to the salary of one month, but they were terminated without being given any notice period. Employees have also claimed that Zomato's efforts to automate its customer support services have resulted in inefficiencies in these areas.

Zomato laid off around 100 workers, which is roughly 4% of its workforce, in its most recent round of layoffs, which took place in December 2022 across several departments including product, tech, catalogue, and marketing.

Recently, a Reddit user, who claimed himself as a former Zomato employee expressed his frustration in a post, saying that Zomato did not value any of his employees' effort and dedication. He took a post on Reddit and said, "They didn't care about the effort we put in, the results we delivered, or the dedication we showed. Just like that, they wiped out hundreds of jobs without a second thought."

The ex-employee claimed that the organisation refused to even listen to the employee side and did not offer them any opportunity for improvement. He said, "If you're working at Zomato or thinking of joining, be warned: your hard work means nothing to them when they decide it's time to cut numbers."

As of now, there has been no official statement or response from the food delivery service company, which is headquartered in Gurugram, regarding the recent layoffs. The company has not provided any details or clarification on the matter.

Zomato has been contacted for a comment, and the story will be updated once a response is received.