Zomato’s AI Sacked 500 Employees Under Disputed Mass Layoffs: “Smiling While Exiting was the Instruction Given”
In a shocking and alarming decision that has left both anger and disbelief, Zomato, the well-known food delivery company, has let go of 500 workers deemed as “low performers” by an AI algorithm and allegedly mandated them to “leave with a smile.” The tech-based termination strategy, which was first revealed by The Financial Express, is receiving backlash for lacking compassion by automating what is already a challenging moment in life for many – losing one’s job.
How AI Became Judge, Jury, and Executioner in One
As for the layoffs, it was reported that Zomato’s AI system analyzed employee records which included productivity metrics, attendance, and customer feedback to flag “under performers.” Those singled out got cut-off emails with no supplementary details or prior communication. Tell Me More:
Breadth: Well over 500 employees across customer support, logistics, and tech teams.
Separation: Two months’ salary; there remains no further information as relates to health insurance or retraining.
Exit Instructions: An internal memo suggested leaving employees “smile” as a way of maintaining morale at the workplace.
Employees Speak Out: “It felt like a robotic betrayal.”
Anonymous workers at Zomato have shared their grief:
A 28-year old delivery ops manager shares: “I worked for three years. The AI didn’t register my overtime or the pandemic shifts I took over, simply opening the cupboard and telling me to ‘smile’.”
Customer care agent: “My manager looked at the floor. I was a statistic to an algorithm and no one even looked me in the eye as they said sorry.”
Social Media Backlash: The hashtags #ZomatoRobotLayoffs was trending for users to endorse the boycott with one tweet stating: “Humans have to deal with being fired by AI, but who deals with AI losing its job?”
Experts Examine Zomato’s “Tone-deaf” Handling
HR practioners and ethicists are understandably displeased:
Concerns of morality: “There is no consideration more irresponsible than laying off people without human supervision. Algorithms don’t account for personal contribution tough box, loyalty or even subterranean,” Fr. Succor, advocate of human rights and labor said.
Reputational risk: Zomato, a company boasting of its PF (people first) culture is simultaneously and immediately losing people’s trust while riding high on the competition such as Swiggy twittering: “What’s our secret recipe? Simple, compassion”.
Zomato’s Variance Justification: “Was Needed For Sustainability Benefits”
Zomata in a diplomatic postulation said the layoffs were tactical to bring in ‘profitability’ ramification, however, it is known that the company shoots perfectly at an ill thought out $200 million aim at robot automation decrementing humans.
Wider Implications: Is This What the Future of Work Looks Like?
Zomato’s AI Zombification showcases a worrying trend:
International Change: According to Gartner, 40% of businesses globally have adopted the use of AI in recruitment and layoffs.
Legal Gaps: There is no legislation for AI in personnel work in India, which is dangerous for workers.
The Impact on Mental Health: The way jobs are lost due to an algorithm is even more brutal and aggravates anxiety, psychologists say.
