Food delivery giant Zomato has provided earning opportunities to over 15 lakh delivery partners in 2024, according to CEO Deepinder Goyal. In a recent post on X (formerly Twitter), Goyal revealed that these gig workers have been making an average of ₹28,000 per month, even after factoring in fuel costs. The Gurugram-based company, which started as FoodieBay in 2008, has built a system that offers flexibility, allowing delivery partners to work at any time and choose their level of commitment—whether full-time, part-time, or seasonal.
Gig Work on Zomato: How the Earnings Stack Up
Zomato follows an “earn per delivery” model, where payouts depend on the number of orders completed. Payments are transferred weekly and tracked through the company’s dedicated delivery partner app.
Some key factors influencing their earnings:
- Peak hours matter: Delivering during lunch and dinner rushes leads to higher order volumes.
- City-based variations: Bonus structures differ across locations, affecting total earnings.
- Referral incentives: Partners can earn extra by bringing in new recruits.
The company offers bonuses to encourage higher engagement, including a starting bonus for completing a set number of deliveries soon after joining and a referral bonus for introducing new drivers to the platform. Those who work longer shifts can boost their income through additional incentives.
Insurance and Benefits: A Safety Net for Gig Workers
One major challenge gig workers face is the lack of traditional job perks like paid leave, retirement benefits, or job security. To address some of these concerns, Zomato provides delivery partners with default insurance coverage, including accident, death, and health benefits.
A closer look at Zomato’s financial support for its workforce:
- The company disburses over ₹53 crore annually in insurance claims.
- 55% of claims in 2024 covered non-accident medical expenses.
Having this financial cushion has proven to be a major advantage for delivery partners, particularly in an industry where road safety risks and unpredictable working conditions are daily realities.
Challenges Gig Workers Face
While flexible work hours and decent earnings attract many to the gig economy, the job isn’t without its difficulties.
- Fuel costs: Despite their earnings, rising fuel prices eat into overall take-home pay.
- Weather conditions: Heavy rains, extreme heat, and cold weather can disrupt work schedules.
- Job stability: Unlike salaried employees, gig workers don’t have a fixed income or long-term security.
- Safety risks: Navigating traffic-heavy roads increases the likelihood of accidents.
The lack of formal employment benefits remains a concern. Unlike traditional jobs, gig workers don’t receive paid leaves, provident funds, or retirement savings options. However, platforms like Zomato have been gradually introducing measures to make their system more worker-friendly, ensuring delivery partners receive financial support when needed.
The Bigger Picture: Gig Work in India
Gig work isn’t just about food delivery. The concept includes freelancers, contract workers, and project-based professionals across multiple sectors. Under the Labour Codes of 2019, a gig worker is defined as someone engaged in a work arrangement outside of a traditional employer-employee relationship.
Here’s how the sector looks in numbers:
| Category | Estimated Workers (India) |
|---|---|
| Food Delivery | ~30 lakh |
| Ride-Hailing | ~20 lakh |
| E-commerce Delivery | ~15 lakh |
| Other Freelancers | ~1.5 crore |
As India’s gig economy expands, the debate around better working conditions and social security for gig workers continues. With companies like Zomato making gradual improvements, the future of gig work in India is evolving—though challenges still remain.
