Tuesday, June 15, 2021

Fuel price hike impact: Zomato increases delivery partner fee

Inorder to accommodate the fuel price hike, Food delivery firm Zomato has increased the remuneration of its delivery partners.

Zomato founder and Cheif Executive Officer Deepinder Goyal said that the company has increased the pay structure for its delivery partners by 7-8%.

In a statement, Zomato said, ”Increase in fuel prices had impacted the net earnings of Zomato delivery partners. However, the company is not yet passing on this cost to our customers”

”Zomato has taken multiple steps to ensure that this increase in the running costs for delivery partners does not impact their net take-home earnings” a statement said.

Based on the fuel price hike, the company has revised the pay structure. New pay structure includes an additional component of distance pay. This component will be applicable over and above the existing remuneration, and will automatically be pegged to adapt to any changes in fuel prices in the future.

The new pay structure has been rolled out in 40 cities already and will be followed in other cities shortly.

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