Zomato Cancels Salary Cuts For All Employees! Gives 3X More Salary As Revenues Increase By 105%
Here is a good news amongst the chaos – Zomato has announced that they will retracting their salary cuts and instead will give thrice the amount to employees who faced the salary cuts.
Throughout the lockdown, all we have heard is news about employees being fired and salaries being slashed. Amidst all that, this news sure does feel like a breath of fresh air.
Why did Zomato have a change of heart all of a sudden? Read on to find out!
Zomato Announces To Reinstate Pay Of Employees; Will Also Pay Thrice The Amount Lost
Zomato has announced that they will be paying their employees three times the amount that they lost during the pay cuts that were imposed on them.
Apparently the online food delivery platform has observed impressive performance in FY 20 then what was in the previous fiscal.
Deepinder Goyal, the co-founder of Zomato, announced through a tweet, saying, “For everyone who took voluntary salary cuts, we are rewarding them for their commitment to the company, and they will get 3x the amount of their voluntary deduction in the form of ESOPs (at zero exercise price).”
He also said that all the salary cuts that were imposed on the employees since April would be reinstated. He has also stated that all the deductions that were made in the salary cuts of people will also be paid back in full.
Zomato Records 105% Growth In Revenue; Find Out Why!
Zomato had laid off 520 employees in May 2020, due to the lockdown imposed in the country when the Coronavirus pandemic started spreading throughout the country. This accounted for as much as 13% of the total headcount of the country.
However, the revenue of the country grew by 105% in FY20 as compared to that of FY19, whereas, the costs increased only by 47% in the same period. Zomato revealed, “Moving our business towards profitability was a core focus for us in FY20 and we made significant progress along that journey.”
Zomato has also given credit to the merger between Zomato and Uber Eats, which helped the company boost its business and make it the lead in the competition.