Synopsis: Zepto, India’s fast-growing quick-commerce startup, is expanding its workforce across major cities while facing growing scrutiny over labor practices. Delivery workers have raised concerns about pay, working conditions, and workplace culture, highlighting broader challenges in India’s gig economy.
Zepto Faces Labor Challenges Amid Rapid Growth in India’s Gig Economy
Zepto Faces Labor Challenges Amid Rapid Growth in India’s Gig Economy

New Delhi: Zepto, known for its “10-minute delivery” model, has emerged as a major player in India’s gig economy, offering flexible job opportunities across urban centers. The company has recently partnered with the Ministry of Labour and Employment to formalize 10,000 job openings, targeting youth, women, and first-time job seekers. This move is aimed at creating structured employment and enhancing opportunities in India’s growing quick-commerce sector.

However, the company’s rapid expansion has been accompanied by labor unrest. In Hyderabad, Zepto delivery workers initiated an indefinite strike, alleging payout cuts and labor rights violations. The Telangana Gig and Platform Workers Union (TGPWU) reported that compensation discrepancies and inconsistent earnings across stores were major grievances.

In addition, former contractual employees have publicly accused Zepto of fostering a toxic work environment, citing long hours without breaks, managerial abuse, and undue pressure to meet unrealistic delivery targets. A Reddit post by an ex-worker described the stressful work culture and fear of retaliation, sparking wider debate about gig economy labor practices in India.

Zepto has responded by denying the allegations, clarifying that some concerns pertain to third-party sellers rather than the company directly. The startup emphasized its commitment to creating a safe and positive work environment and has pledged to address complaints through internal mechanisms.

Analysts note that Zepto’s situation reflects broader challenges in India’s gig economy. While platforms provide flexible employment and income opportunities, the absence of standardized labor protections, inconsistent pay structures, and high-performance pressures can create friction between workers and management.

Zepto’s initiatives demonstrate the promise of job creation in India’s urban gig sector. At the same time, the ongoing labor disputes highlight the urgent need for platforms to balance growth ambitions with worker welfare. Ensuring fair compensation, safe working conditions, and transparent grievance mechanisms will be crucial for maintaining workforce morale and sustaining long-term growth in India’s rapidly evolving quick-commerce market.

 

Leave a comment

Your email address will not be published. Required fields are marked *