Zomato, an Indian foodtech company, has laid off approximately 600 employees from its customer support team as part of a broader restructuring.

The layoffs are linked to performance issues and the integration of AI-based automation in customer support.

Zomato’s AI platform, Nugget, handles over 15 million queries monthly, improving resolution times by 20% and response times by 75%.

The affected employees were part of the Zomato Associate Accelerator Program (ZAAP) and were hired less than a year ago. Many of these contractual workers did not receive job renewals.

Some former employees expressed frustration on social media, claiming abrupt terminations and lack of notice.

These layoffs come amid slowing growth in Zomato’s food delivery segment and increased competition in the quick commerce market.

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