Eternal, Swiggy share prices fall as gig workers' protest roils sentiment

Swiggy share price extended losses to fourth session, while Eternal reversed gains on Friday. The share prices were trading 1.77 per cent and 0.53 per cent down, respectively, as of 9:40 a.m.

Swiggy and Eternal share price today: Eternal and Swiggy share prices declined on Friday as e-commerce platform workers and gig workers launched a protest for better pay and work conditions. Analysts see limited impact on the counter prices because of the protest. 

 

Eternal and Swiggy share prices declined as much as 1.79 per cent and 2.16 per cent, respectively, in the intraday trade on Friday, on the BSE. 

 

Swiggy share price has been declining for four days in a row. The total traded volume, so far on Friday, stood at 0.71 million shares on the National Stock Exchange. The relative strength index was at 45.06

 

 

Meanwhile, Zomato-parent Eternal's total traded volume, so far in the day, stood at 3.1 million shares on the National Stock Exchange. The relative strength index was at 36.53.

 

Swiggy and Eternal share prices were trading 1.77 per cent and 0.53 per cent down, respectively, as of 9:40 AM, compared to a 0.19 per cent decline in the NSE Nifty 50 index.   CATCH STOCK MARKET LIVE UPDATES

Why did Swiggy and Eternal share prices fall today?

 

Delivery and gig workers of major e-commerce and food delivery platforms like Swiggy, Zomato, Blinkit, Zepto, and Flipkart launched a protest against worsening work conditions. They observed their first all-India protest on December 25. The next protest is on December 31.

 

Gig workers and delivery partners are forced to endure long working hours, falling earnings, unsafe delivery targets, arbitrary ID blocking, lack of job security, and absence of basic welfare protections during peak seasons and festivals, the Telangana Gig and Platform Workers Union, and the Indian Federation Of App-Based Transport Workers said in separate posts on Facebook on Thursday.   Notably, the Unions have decided to hold protest on December 25 (Christmas) and December 31 (New Year's Eve), which are, typically, high demand-high volume days for food delivery, quick commerce, and e-commerce deliveries. Supply disruption on such dates could result in significant delivery disruption and order cancellations, which may affect revenue of these companies.  Besides, analysts believe quick commerce companies may choose to offer higher incentives or surge payouts to non-striking workers or temporary contractors, which could increase cost of operations in the immediate term.  ALSO READ | Panacea Biotec jumps nearly 14% as Unicef raises order size for 2026, 2027

Why are Zomato, Swiggy, delivery partners on strike?

 

Despite being the backbone of last-mile delivery, gig workers and delivery partners are facing the continued denial of fair wages, safety, dignity, and social security, Telangana Gig and Platform Workers Union said in the post. 

 

Delivery workers are demanding fair and better pay through transparent wage structures and incentives reflecting real working hours and costs, an end to arbitrary ID blocking, improved safety measures, assured work allocation without algorithmic discrimination, respect and dignity at work, and mandatory rest and breaks, among other demands, according to the post.

 

Delivery partners and workers urged the central and state governments to intervene and regulate delivery platforms, enforce labour protection, implement social security measures, and recognise the rights of gig workers, according to the post.  ALSO READ | NBCC shares rise 5% in trade; what is driving investors' interest? 

Analysts' View

 

Analysts believe a frequent or longer protests by gig workers and delivery partners may compel the platforms to restructure their payout models by either improving minimum earnings guarantees, or providing allowances for safety and social security — all of which would, eventually, raise operating expenses.  This, they said, could dent the companies' profitability and margins in an already highly competitive industry.  Globe Capital Markets expects a short-term impact on Swiggy and Eternal share prices because of the all-India protest of gig workers, said Vipin Kumar, assistant vice president, technical and derivatives research. 

 

The ongoing dip in Eternal prices will provide an opportunity for investors to accumulate the counter for medium- to long-term gains, Kumar said. For Swiggy, Globe Capital Markets suggests caution, as a fall below ₹370 will further dampen the sentiment.