India cracks down on ultra-fast delivery promises
Last week, authorities instructed e-commerce companies to halt 10-minute deliveries, ending the highly promoted promise by start-ups to provide groceries, meals, grooming items, and even home repairs at lightning speed. The decision comes after a New Year’s Eve strike by around 200,000 gig workers, who clashed with start-up founders, investors, trade unions, and politicians over issues including minimum wages and the controversial rapid-delivery model.
The workers also demanded greater transparency in wage calculations and an end to what they describe as arbitrary algorithmic control over performance ratings and contract terminations. Since the pandemic, fleets of men and women—predominantly men—racing through city streets to deliver parcels have become a familiar sight in Mumbai, Delhi, and other urban centers.
Consumers have grown accustomed to the convenience offered by apps such as Zomato, Swiggy, Blinkit, and Instamart, which have become integral to city life and commerce in Asia’s third-largest economy. While gig workers push for safer and fairer conditions, platforms argue that excessive regulation could stifle what is among the fastest-growing segments of India’s labour market. The country’s gig workforce currently numbers 12 million and is expected to double within the decade.
The strike and the 10-minute delivery ban coincide with new government rules that will bring gig work under formal labour law protections for the first time. Set to take effect this year, the legislation introduces measures such as social security and insurance coverage for workers who log at least 90 days annually on the platforms.
This combination of regulatory changes and worker activism marks a significant turning point for India’s delivery sector, with the balance between rapid growth, worker rights, and industry sustainability now under scrutiny.
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