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On the last day of the year i.e. 31st December, those ordering food or grocery online may have to face problems. Gig workers (delivery and taxi drivers) across the country have announced a nationwide strike today.
The worker union alleges that app-based companies are exploiting them and they are being deprived of basic legal rights. Gig and Platform Services Workers Union (GIPSWU) has written a letter to Union Labor Minister Mansukh Mandaviya demanding immediate intervention in this matter.
The union has warned that if their demands are not heeded, it will affect the growth of the country’s economy. Earlier on December 25 also, the delivery workers had conducted a symbolic strike.
Impact on New Year celebrations – problems in many cities including Delhi-Mumbai
This strike has received support from organizations of many states including Maharashtra, Karnataka, West Bengal and Delhi-NCR. Tonight on New Year’s Eve, when demand for food and grocery is at its highest, between 1 lakh to 1.5 lakh delivery riders may remain logged out of the app. Its maximum impact will be visible in big cities like Bengaluru, Hyderabad, Pune and Kolkata.
Workers are protesting against delivery in 10 minutes
The biggest reason behind the strike is work pressure and reduction in earnings. The union has demanded that the pressure to deliver within 10 to 20 minutes should be ended immediately.
Workers say that delivering in such a short time means that we have to move fast, due to which there is always a risk of road accidents.
Apart from this, workers associated with companies like Zomato, Swiggy, Blinkit, Zepto and Flipkart have demanded a rate of Rs 20 per kilometer.
40 thousand fixed salary and blocking of ID should be stopped
Gig workers have submitted a charter of their demands to the government, key demands include:
- Minimum Income: Earning of at least Rs 40,000 should be guaranteed every month.
- ID Blocking: Blocking the IDs of workers without any concrete reason and giving penalty and punishment on the basis of rating should stop.
- Security: Women workers should be provided security at workplace, emergency leave and maternity protection.
- Support: Instead of AI support, 24-hour human support should be available to solve problems.
- Worker Status: Delivery partners should be treated as ‘workers’ under labor laws instead of ‘partners’.
No impact of strike expected on e-commerce companies
The strike will have the biggest impact on food delivery and quick commerce apps. The impact on e-commerce companies is expected to be minimal.
Earlier, about 40,000 workers had participated in the strike on December 25 (Christmas). Due to this, about 60% of deliveries were affected in some cities.
Why is there more impact on food delivery?
According to analysts, food delivery and quick commerce platforms are more dependent on local delivery partners. Whereas in e-commerce the backup system of delivery network is strong.
Orders may fall by 20% in big cities of South India
According to Karan Taurani, the impact of the strike can be seen mainly in the metro cities of South India. There may be a 10 to 20% decline in order volume in these cities.
However, if seen at the nationwide level, the strike on 25th and 31st December is expected to impact only 0.3% to 0.7% on the total revenue of delivery platforms.
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