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Zomato Lays Off 500 Customer Service Employees Amid AI Automation, Food Delivery Slowdown

OutlookIndia · 2d

Zomato has laid off 500 employees from its customer service training program amid slowing growth in food delivery and a shift to AI automation. The company's new AI platform, Nugget, now handles most customer interactions. Employees reported vague termination reasons, with AI-generated performance assessments contributing to the dismissals. Some employees received compensation without prior notice, leading to stress and uncertainty. Zomato's workforce had grown significantly, despite reporting a decline in net profit.