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Swiggy to downsize private brand kitchens, impacting 900 staff: Report

As COVID-19 disrupts daily life across the country, the hospitality industry has come under severe pressure

Topics
Coronavirus | Swiggy | Lockdown

Press Trust of India  |  New Delhi 

Swiggy
Deliverymen of food aggregator Swiggy wait along a roadside during the nationwide lockdown in wake of the coronavirus pandemic. PTI

Food ordering and delivery platform is planning to downsize operations of its private brand kitchens due to COVID-19 pandemic, which could impact around 900 employees, according to sources.

As per the sources in know of the matter, around 900 employees would be affected by the decision of the company.

The company, however, refrained from sharing any details about the number of employees likely to be impacted.

"As COVID-19 disrupts daily life across the country, the hospitality industry has come under severe pressure. As the gets further extended, we are evaluating various means to stay nimble and focused on growth and profitability across our private brand kitchens," a spokesperson said in a statement.

These include renegotiating contracts with landlords, relocation of certain kitchens to more optimal locations and discontinuing operations at a few kitchens that have been severely impacted since the came into effect, it added.

"This will unfortunately have an impact on a certain number of kitchen staff who will be fully supported during this transition," the statement said.

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First Published: Tue, April 21 2020. 20:32 IST
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