Workers’ Body Calls On Blinkit To Reconsider….

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The Indian Federation of App-Based Transport Workers (IFAT) has called on Blinkit to reconsider its recent decision to cut the wages of its delivery workers. Shaik Salauddin, the industry body’s national general secretary, stated that the pay cuts not only undermined workers’ hard work and dedication but also put their livelihoods at risk. Last week, Blinkit cut its delivery workers’ wages from INR 50 per order to INR 14, sparking protests and outrage across Delhi NCR. IFAT claimed that over 50% of the 200 dark stores Blinkit has in Delhi, Gurugram, Faridabad, Ghaziabad, Noida, and Greater Noida have been closed since April 13. Ashneer Grover, who was Blinkit’s (then known as Grofers) ex-CFO and is now the co-founder of BharatPe, has been sharing his doubts about the viability of the quick commerce model. He took to Twitter to express his concerns, saying that the problem with Blinkit/Zepto is not the reduced delivery pay but the fact that 10-minute delivery has no economics, and that low ticket size and low margin can never be solved through forced low delivery costs.

Zomato founder Albinder Dhindsa has stated that the company can still create a profitable business even if the Average Order Value (AOV) is 20% lower than the current level. This statement was made in response to Blinkit’s recent decision to cut delivery driver wages, which led to protests and shutdowns of more than 50% of the 200 dark stores in Delhi, Gurugram, Faridabad, Ghaziabad, Noida, and Greater Noida. Dhindsa’s comment suggests that the company is looking to find a balance between providing quality service and keeping costs low.