Barely a month after Zomato, the online restaurant guide and food ordering platform, laid off 60 employees, it has again rendered about 10 per cent of its workforce, that is, about 541 people jobless.
The employees that have been asked to leave, belong to the customer, merchant and delivery partner support teams. They will all be given two to four months of severance pay on the basis of their tenure.
The Company has clarified that its business has grown consistently and in keeping with the same, its technology products and platforms have also evolved and improved tremendously. The pace of resolving queries and services has improved so much that now only about 7.5 per cent of its orders require support, whereas earlier the figure was 15 per cent. Queries pertaining to direct orders have dipped considerably.
The Company’s progress in terms of technology and expansion in terms of the army of delivery partners, has rendered many support functions redundant.
Zomato, however, also claims that it will be creating new jobs in significant numbers very soon. It now offers services in 24 countries across the world.
In India itself, it offers its services to 25 million customers in more than 500 cities, delivering orders from about 250,000 restaurants and hundreds of kitchens.
Only last week, the Company had reported a dip in losses and announced that the delivery partners’ monthly income has crossed Rs 200 crore.
While profits will always be important, presently, the Company wishes to focus on expanding its food delivery business. In fact, it seems to be all geared up to grow ten times in the next five years.