The ongoing strike by delivery partners associated with Blinkit and the temporary closure of a few stores have no material impact on Zomato’s operations and financial performance, the company said in an exchange filing on Wednesday.
The Bombay Stock Exchange (BSE) on Wednesday sought clarification from the food delivery firm on news reports stating that Blinkit had temporarily closed stores after delivery partners protested a change in payout structure.
“These disruptions and changes have no material impact on the operations/financial performance of the company (meaningfully less than 1% revenue impact), and hence, we believe that this event does not warrant any disclosure under Regulation 30 of the SEBI (LODR) Regulations, 2015,” Zomato said in the filing.
Blikit’s delivery partners are protesting against the company’s updated commissions system in Delhi-NCR for the second-straight week, saying the grocery delivery firm has brought down commissions to Rs 15 from Rs 30.
These partners met Gurugram Deputy Labour Commissioner Dinesh Kumar and submitted their demands on Monday. Representatives of Blinkit were also present at the meeting.
The Deepinder Goyal-led company said it shut down some stores for a few days to ensure the safety of its employees at stores and the delivery partners. Most of these stores have now resumed operations.
Delivery partner payouts were restructured to address the needs of delivery partners, improve customer experience, and reduce cancellations and order rejection frauds by a few delivery partners in the system, the company said, noting that such changes are implemented from time to time.
At the time of publishing, Zomato’s shares gained 2.5% to Rs 54.65 apiece.
