Moneycontrol
HomeNewsBusinessZomato curbs income of delivery boys, may move to a new payment structure
Trending Topics

Zomato curbs income of delivery boys, may move to a new payment structure

Over the past couple of months Zomato cut payments and incentives of delivery boys by up to 40 percent.

September 17, 2019 / 15:24 IST
Story continues below Advertisement

Zomato | The food ordering aggregator raised $250 million from Kora Management, Tiger Global and Temasek in August 2020.Zomato | The food ordering aggregator raised $250 million from Kora Management, Tiger Global and Temasek in August 2020. (Image: Zomato)

The dark circles under Sukhdev’s eyes because of endless sleepless nights show the perils of staying up through the night to deliver food to customers ordering them online on Zomato, the Gurugram-based food-tech startup.

“For people like us, there are few options… Who wants to work at midnight? There is a problem with joblessness,” Sukhdev, who has studied till Class XII, said. He works at the bank as an office boy during the day. As a part-time Zomato delivery boy, he earned an additional Rs 6,000 every week, but not anymore.

Story continues below Advertisement

Sukhdev is one the thousands of men who are trying to earn their livelihoods in Delhi, the country’s capital, through contractual gig-economy jobs. Wearing a black helmet and the red Zomato jacket, he starts making deliveries at 7 pm every evening on his Bajaj Pulsar motorcycle. “Deliveries earn us good money…I make more than my day job, but don’t want to leave the bank. Zomato is not a permanent job,” Sukhdev said. He has his reasons to believe so.

Over the last two-three months, the income of Zomato’s delivery boys has dropped by 30-40 percent due to reduction in delivery commission and incentives. For some, the drop is as high as 50 percent.