Skip to main content
company

Zomato

Indian food delivery and restaurant aggregator company. Public company on NSE/BSE. Parent company renamed to Eternal in 2025. Has faced criticism over AI-driven layoffs and gig worker conditions.

Track Record

Zomato announced that cumulative National Pension System (NPS) contributions from delivery partners onboarded through its platform crossed Rs 1 crore, with PRAN enrolments surpassing 2 lakh (200,000), under the NPS e-Shramik (Platform Service Partner) model launched in October 2025 with HDFC Pension, PFRDA and KFintech. The program lets gig delivery partners make small, portable retirement contributions across platforms.

On August 15, 2026, Bengaluru delivery workers organized by the Karnataka App-based Workers Union struck against Zomato (and Swiggy) in solidarity with a restaurant boycott threat led by the Bengaluru Hotel and Restaurant Association, which said over 21,000 restaurants could stop accepting orders. Workers and restaurants demanded an end to commissions as high as 30%, transparent payout and deduction systems, and dedicated human support to resolve disputes, calling platform economics exploitative of workers, restaurants, and customers alike.

Zomato, alongside Swiggy and Zepto, moved the Karnataka High Court in June 2026 to challenge the constitutional validity of the state's gig workers welfare law, which would require aggregator platforms to contribute to a worker welfare fund and extend social-security protections. The legal challenge came amid broader industry resistance to gig-worker protections, including a separate central rule requiring 90 days of platform work before workers qualify for social security benefits.

incidental

On December 25, 2024 and New Year's Eve 2025, over 200,000 delivery workers from Zomato, Swiggy, and Amazon struck across India, organized by IFAT. Workers demanded fair pay, an end to 10-minute delivery targets, and social security. A Hyderabad driver making 5 rupees (<10 cents) per order base rate works 7pm-5am daily. CEO Deepinder Goyal claimed deliveries were 'unaffected' but unions responded workers 'cannot afford to log out.'

In April 2025, Zomato laid off 500-600 employees from its Zomato Associate Accelerator Program without prior notice, giving only one month's severance. The layoffs followed the launch of 'Nugget', an AI platform handling 15 million monthly interactions and resolving 80% of queries without humans. Employees reported being dismissed for minor issues like being late by 28 minutes on average, with AI performance tracking ranking workers into tiers.

Following nationwide strikes by 200,000+ delivery workers over extreme low wages and dangerous conditions, Zomato CEO Deepinder Goyal dismissed worker concerns, stating Zomato delivered 'at a record pace' and was 'unaffected by calls for strikes,' crediting 'local law enforcement' for 'keeping small number of miscreants in check.' Goyal argued 'if a system were fundamentally unfair, it would not consistently attract and retain so many people.' Union leader Shaik Salauddin responded: 'CEO of Zomato is trying to save himself, at an organizational level he has come under pressure...even after repeated threats from CEOs, gig workers continued peaceful strikes resulting in delays in 60% of orders.' In January 2026, Union Labour Minister Mansukh Mandaviya forced Zomato, Blinkit, Swiggy, and Zepto to remove 10-minute delivery pledges - the strikers' primary demand. Zomato also terminates nearly 5,000 gig workers monthly for 'fraud' while 150,000-200,000 leave voluntarily.

More than 200,000 delivery workers across Zomato, Swiggy, Zepto, Amazon, Blinkit, and Flipkart struck on December 25, 2024 and December 31, 2025 (New Year's Eve). Workers demanded: (1) restoration of old payout system, (2) removal of 10-minute delivery model forcing unsafe speeds, (3) stopping ID deactivation without reason, (4) fixing algorithms that reduce incentives, and (5) social security including health insurance. Base pay as low as 5 rupees (10 cents) per order. Workers forced to complete 35-40 orders daily, working 16-hour days for 700 rupees ($7.70) after expenses. One delivery rider became accident victim every three days in Hyderabad; 17,000+ traffic violations recorded in single week as riders forced to run red lights. Strike caused 50-60% order delays on December 25. Union leader Shaik Salauddin: 'Delivery workers are being pushed to the breaking point by unsafe work models, falling incomes, and total absence of social protection.'