SUMMARY
Swiggy change incentive and minimum payment in July 2019
Partners have to earn INR 350 during peak hours for INR 100 as incentives
Delivery partners accused Swiggy management of hostility
The second half of 2019 has been tough for food aggregators, especially after the series of protests by restaurant partners in various places across the country. Unfortunately, the trouble doesn’t end here, especially for Swiggy. Recently, delivery partners in Hyderabad accused the company of eating into their share of income by rigging the payment and incentive system.
Delivery partners told Deccan Chronicle that initially, they had to earn INR 900 per day to get additional INR 200 as incentives, but whenever they were close to achieving the target, orders would dry up.
In July 2019, Swiggy changed the incentives and payment policies. But with the new incentive model in place, the delivery partners face the same issue. Under the new incentives, delivery partners have to earn INR 350 during peak hours, which are between 11:30 AM to 3:30 PM and 7 PM to 10 PM, to earn INR 100 incentive.
In addition to this, the delivery partners also highlighted that Swiggy levies late-night charges to the customers on orders placed after 10:30 PM, but the delivery partners are only paid extra for deliveries between 1 AM to 5 AM.
In addition to this, the partners have also accused Swiggy’s management of being hostile to them and firing older executives on petty reasons such as cancelling an order or not logging in at the correct time.
This has been happening since Swiggy lowered down the minimum payment per order to INR 15 from the initial INR 35, in July this year. Due to contract obligation, the company had to continue paying INR 35 per order to the old delivery partner. To hostilities and random firings have been a way save up that additional cost.
Swiggy delivery partners have reportedly been fired previously, which has triggered protests against the company. “We were told there were thousands waiting in line for our jobs, so we could be easily replaced,” a delivery partner told Deccan Chronicle.
Delivery Partners Are ‘Aptly’ Compensated: Swiggy
Swiggy’s Spokesperson told Inc42 that the company gives a fixed payout for each delivery, which is based on traffic and distance, and they also receive incentives basis the duration of work, number of orders, etc.
Moreover, the spokesperson also clarified that the delivery partners are “aptly” compensated, if they are working during bad weather conditions, festivals or late at night.
The spokesperson added, “As part of the Swiggy Smiles program launched last year, delivery partners are provided with benefits such as accident and medical insurance, doctor on call and various other seasonal benefits.”
