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Article

24 May 2025

Author:
Outlook Business

India: Telangana gig workers union alleges wage cuts and exploitation in complaint to local government against Zepto, incl. co. response

See all tags Allegations

"Low Wages, Unreasonable Work Pressure in Zepto; Telangana Gig Workers' Union Writes to Labour Dept", 24 May 2025

The per-delivery rate has been drastically reduced, with workers earning as little as Rs 10-15 per order. There is no guaranteed minimum income despite long working hours.

The Telangana Gig and Platform Workers' Union (TGPWU) has written to the state's Department of Labour against quick commerce platform Zepto's "exploitative practices". Zepto, however, has refuted the accusations. The union, in a letter marked to the Additional Commissioner of Labour, Government of Telangana, and Zepto CEO Aadit Palicha, said despite contributing significantly to the hyperlocal delivery ecosystem, these workers remain deprived of basic labour protection. "The per-delivery rate has been drastically reduced, with workers earning as little as Rs 10-15 per order. There is no guaranteed minimum income despite long working hours. ..TGPWU said there are no restrooms or clean drinking water available at dark stores, and added that riders have to bear fuel and mobile data costs. ..has written to the state's Department of Labour against quick commerce platform Zepto's "exploitative practices".

..Zepto, however, has refuted the accusations.

..Workers are not provided ESI, PF, health insurance, or any form of accident coverage despite their vulnerable working conditions. ..has been holding a "peaceful" strike for the past four days in Hyderabad at several store locations, but "Zepto management has refused to engage in dialogue or accept the legitimate demands of delivery workers". Zepto, however, in a statement to PTI, said 97 per cent of the company's per-order cost goes towards delivery partners. "Delivery partners in Hyderabad currently earn Rs 100-120 per hour, and these earnings have remained consistent in recent weeks. Our payouts are transparent, with 2X incentives for peak summer shifts and complete flexibility to choose work hours. Allegations of low or inconsistent pay are simply untrue," it said. It also said it does not rush deliveries or penalise delays.