Mumbai, April 1: Zomato, India’s leading food delivery giant, has reportedly laid off around 600 employees from without any notice. The Zomato layoffs decision was reportedly taken by the company for using AI instead of humans for the customer support roles. Zomato intend to automate its customer service with AI platform “Nugget”. The staff was laid off citing that they delivered poor performance and punctuality.
The Zomato layoffs were reportedly initiated by the company amid experiencing slow growth in the food delivery business and suffering losses in its quick commerce unit. Zomato reduced its workforce after weeks of launching “Nugget”, an in-house artificial intelligence platform that resolving the customer problems. It was reportedly developed over three years.
Nugget is an AI-powered platform that is capable of handling multiple queries of the customers. It can handle more than 15 million monthly interactions across the Blinkit and Hyperpure platforms. The AI platform can deliver up to 80% of the customer queries without needing any human intervention. Zomato reportedly hired around 1,500 employees under ZAAP (Zomato Associate Accelerator Programme) for the roles of customer support.
(The above story first appeared on LatestLY on Apr 01, 2025 05:19 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
