Alleged Employee Claims, ‘Deep Crisis’ at Zomato; CEO Calls it ‘Utter Nonsense’
Following a viral post on social media from an alleged Zomato (now Eternal) employee claiming the company is facing a "deep internal crisis," Zomato has vehemently denied the allegations, calling them “utter nonsense.”
New Delhi: Following a viral post on social media from an alleged Zomato (now Eternal) employee claiming the company is facing a “deep internal crisis,” Zomato has vehemently denied the allegations, calling them “utter nonsense.”
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The Reddit post, allegedly written by a Zomato employee, raised concerns about the company’s internal culture and competitive performance, describing the work environment as “toxic.” It also referenced the abrupt exit of Rakesh Ranjan, the former CEO of Zomato’s food delivery division. However, Zomato clarified that Ranjan has not resigned, as the post suggested.
CEO Deepinder Goyal Denies Allegations and Stands Firm
In response to the claims, Zomato CEO and Co-founder Deepinder Goyal took to the social media platform X to dismiss the allegations. He firmly denied the claims about the company losing market share and refuted reports of any forced orders by employees.
“All of this… is utter nonsense. Neither are we losing market share, nor will we ever force our employees to order on Zomato. Freedom of choice is something we stand for vehemently,” said Goyal.
He further stated that addressing these claims was “embarrassing,” but he clarified the situation since many people had reached out to him with concern. “And thanks everybody for your concern… appreciate it,” he added.
Whistleblower’s Allegations: Work Culture and Delivery Partners
The anonymous post alleged that Zomato employees were being pressured to make a minimum of seven orders per month on the platform, with monitoring mechanisms in place. Additionally, the whistleblower mentioned that one of the primary challenges facing the food delivery industry is the treatment of delivery partners, raising questions about working conditions.
Zomato’s Official Response to Ranjan’s Exit Rumors
Earlier this week, media reports suggested that Ranjan’s resignation was part of a leadership reshuffle at Zomato, with CEO Deepinder Goyal expected to temporarily oversee the food delivery division. Zomato’s parent company, Eternal Group, clarified that Ranjan had not submitted his resignation and remains a part of the leadership team.
The company also reassured stakeholders that leadership changes are a regular part of their ongoing efforts to improve the organisation’s performance and effectiveness.
Conclusion: Zomato’s Commitment to Internal Integrity and Employee Freedom
Zomato has dismissed the crisis allegations and reaffirmed its commitment to employee freedom and customer satisfaction. The company continues to face challenges as it adapts to the competitive landscape but insists that these internal matters do not reflect a crisis, as suggested by the anonymous post.
