New Delhi (Staff Correspondent): Online food delivery platform Zomato is in the news again. An anonymous Reddit post on social media has made serious allegations of “internal chaos” within the company, employee dissatisfaction and decline in market share. In response to this post, Zomato CEO Deepinder Goyal has come out and rejected all these claims and called them “complete nonsense”. The controversy started with a post on Reddit’s r/startupsIndia subreddit, in which a person claimed to be a Zomato employee. The post said that the company’s operations have “derailed” and it is now lagging behind its major competitors Swiggy and Zepto Cafe in the market.
The post also alleged that Zomato employees are extremely dissatisfied and are facing “strict rules” within the company. These include instructions to order from Zomato at least seven times a month, and not to use other competing apps. The post claimed that the company’s internal culture is becoming “toxic” and leadership positions are constantly changing. According to the post, leadership changes inside the company are happening so fast that it feels like “musical chairs”. For example, the post mentioned that Rakesh Ranjan, CEO of Zomato’s food delivery business, had asked employees to maintain focus in a townhall meeting, but was removed from his position just two days later.
Employees and delivery partners’ resentment
The post also claimed that delivery partners are being paid less and are being overworked compared to competing companies, leading them to leave Zomato and move to other companies. According to the Reddit user, customers, restaurant partners and delivery executives – all are disappointed with Zomato. The post said, “Zomato may look shiny from the outside, but it is falling apart from the inside.”
Deepinder Goyal’s strong response
After these allegations surfaced, Zomato CEO Deepinder Goyal responded to these claims on social media platform X (formerly Twitter). He called these allegations “complete nonsense” and said that the company is neither losing market share nor does it force employees to order. He also assured his stakeholders and customers that the company is on solid ground.
This controversy has once again raised the question whether the shiny external image of companies can cover the truth of their internal operations? Although Zomato’s CEO has denied these claims, the discussion on social media is still going on.