Zomato announces layoffs, at least 150 employees impacted

The job market seems turbulent around the world. In India, food-delivery app Zomato is the latest to announce layoffs. The news comes at a time when Twitter, Meta, Amazon and several other MNCs have also announced major job cuts. 

What happened: Zomato announced it was cutting 3% of its workforce as part of an annual performance-based churn. The move has reportedly impacted nearly 150 employees across various departments such as product, catalogue, tech and marketing.

• According to Inc24, the layoffs could have come as the product integration work for Zomato's newly acquired grocery delivery app Blinkit has come to an end. 
• However, Moneycontrol citing a source said that Zomato founder and CEO Deepinder Goyal hinted at more job cuts and replacements across departments not performing well. 

Not-so-great year: Other than the latest round of layoffs, 2022 has not been a great year for Zomato. 

• A slew of senior executives have exited the company, including co-founder Mohit Gupta at the latest. Before him, Rahul Ganjoo, who was in charge of new initiatives at Zomato also quit. 
• Inc24 reported that Zomato is also the only listed new-age tech company in India to report higher QoQ losses in the recent September quarter. 
• Zomato's acquisition of Blinkit (previously Grofers) was met with criticism as questions were asked about why the company was taking on the burden of another loss-making entity. 

Bye bye, Grofers. Yellow, world!#letsblinkit https://t.co/sNq1yxRArp pic.twitter.com/5ECprnu41G

— Blinkit (@letsblinkit) December 13, 2021

• Zomato shut down business in the UK, US, Singapore and Lebanon last year. And this week, it said it is also ceasing food delivery operations in the UAE.