V/S Delivery Partners

Conflict between Zomato and Delivery Partners on the

grounds of Pay and Working Environment
by
group 7
Shanmughasundar S.R. Nihal Bhardwaj
Shatabdi Roy Moulana malik
Shashi kant Shukla Rahul Singha
Arvindhan S B
 RATIONALE FOR SIGNIFICANCE FOR
CHOOSING THE ORGANIZATION
THE TOPIC

Increase in Online food delivery and Legal implications - There is a new bill to
ordering behaviour of customers be passed on Gig workers in India

The new type of employment which is still Loss of Goodwill for the company
highly unregulated
Business Disruption
Highly recurring from the year of 2019 to till
now at various parts of India (reference Unsatisfied stakeholders
given)
DELIVERY
PARTNERS
On one hand Zomato claims that the
company stands by their delivery partners
on other hand it disregards their concerns
ZOMATO
CUSTOMERS RESTAURANTS
REASON OF CONFLICT AS PERCIEVED BY THE PARTIES
Zomato claims that they believe that their
partners deserve the best, so we strive to
give them the best.
"Ride with Pride"
Zomato gives ample flexibility and
freedom for their delivery partners in
working hours
They assert that they provided employment
to the jobless youth in the pandemic
Several out-of-pocket expenses with little
return - Mobile; Bike expenses; Fuel price
The new system of 'GIGS' introduced in
assigning orders to delivery partners
Algorithmic Surveillance Regime
Inconsistency in incentive payment
Zomato not delivering their side of the
bargain i.e. flexible working hours, insurance
coverage, fair payment
 Stakes and costs of conflict
Loss of value - Stock market

15 Million gig workers - political implications

Social media backlash Poor working environment Business disruption

CONFLICT MANAGEMENT AND CONFLICT RESOLUTION
TECHNIQUE
Type of Conflict - High
Two Different Perspectives

Outcome: Strikes all over country by delivery partners.

STEPS TAKEN BY COMPANY TO RESOLVE CONFLICT

Temporary Step
Forcing modes of Projected reliable and
Increasing Payment
Conflict consistent earning
for sometime &
Management opportunity
Revoking
 OUTCOMES OF CONFLICT RESOLUTION

DISCONTENTMENT AMONG
MORE STRIKES
DELIVERY PARTNERS

Conflict Management Mechanism

Government policy - long term & sustainable

Collaboration or mediation (third party) - short term

Reasons for success and

failure of conflict Reflections and
management or Generalization
resolution
Pluralist employment relationship
Failure to recognize gig workers as employees
Cost of Unilateral or forceful resolution -
Cost reduction strategic goal
TGPWU opposing 10 minute delivery policy
Lack of government intervention
Contradicton of culture -Ride with Pride but
Lack of employee greivance addressal
employee champion for one section
Low bargaining power of gig workers
Industry conflict > Organizational conflict
m o solutions
Temporary r e from organization
Dysfunctional conflict -Hindering of service

Power dynamics in conflict

 References:
Food delivery chain partners strike in
Kolkata, seek higher pay and bar on
outsourcing - article dated 21/02/2022,
published in Telegraph India
Zomato delivery agents strike for fair
wages - in Kerala - article dated
24/03/2022, published in
NewIndianExpress
‘We are slaves to them’: Zomato, Swiggy
delivery workers speak up against unfair
practices - article dated 14/08/2021,
published in Newslaundry

THANK YOU
(We are open to Q &A)