Indian riders strike on New Year’s Eve as platforms roll out ’10-minute delivery’

I. A ‘Failed’ Strike

On the final day of 2025, more than 40,000 delivery riders across India launched what would ultimately be a ‘failed’ strike.

◉ A scene from the Indian delivery riders’ strike. Source: Indian Startup News

It is described as a failure because the strike did not achieve its primary objective. The riders hoped that by walking out during the New Year’s Eve peak—when orders surge—they could leave the platforms in a predicament of having plenty of orders but no riders to fulfil them. This, they believed, would provide the necessary leverage to pressure the platforms into withdrawing their recently launched ‘10-minute delivery‘ service. Alongside this core demand, the riders had other grievances, including calls for better safety measures and income guarantees.

Unexpectedly, the platform companies adopted a ‘carrot and stick’ approach: they ignored the strike and dismissed the riders’ demands, while simultaneously raising ‘market adjustment’ prices per order to lure other riders back to work and dampen demand to compensate for the shortage of manpower. Consequently, there were simply not enough riders participating in the walkout. Industry estimates suggest that India has roughly 700,000 to 800,000 active delivery riders per month; a strike of 40,000 was nowhere near enough to paralyse New Year’s Eve deliveries. As a result, the New Year operations of India’s major delivery platforms remained largely unaffected.

Confident in their victory, Deepinder Goyal, the founder of Zomato—one of India’s largest review and delivery platforms—even took to X (formerly Twitter) on New Year’s Day to mock the striking riders.

◉ A screenshot of Zomato founder Deepinder Goyal’s response to the delivery riders’ strike on X. Source: X screenshot
He wrote: “Zomato and Blinkit (Zomato’s quick-commerce arm for daily essentials) set new records yesterday, completely unaffected by those who spent the last few days shouting about striking. Local law enforcement helped us contain the influence of these bastards. In the end, our 450,000 partners completed 7.5 million orders for 6.3 million customers—an all-time high.”

Addressing the conditions demanded by the strikers, he added: “Just think about it: if a system were inherently unfair, how could it possibly continue to attract people to join and choose it as a career?”

The ‘partners’ he refers to are the delivery riders, a term that signals they are not viewed as employees in their relationship with the platform. This means it is incredibly easy for the platform to retaliate against those who initiate walkouts or strikes. While Indian labour laws protect the right of employees to strike—meaning employers cannot dismiss or terminate contracts based on strike action—riders, lacking formal employment contracts, are denied these protections.

II. The Ongoing Struggle of Workers Against the Platform Economy

Despite this failure, platform economy workers in India launched multiple strikes in 2025, many of which were spearheaded by newly formed platform workers’ associations across various sectors. For instance, mid-year, female domestic workers on a home-services platform in Telangana organised a strike. This points to an emerging trend of organisation within India’s platform economy—a sector where labour rights are precarious and workers are historically difficult to mobilise. It also underscores just how dire working conditions have become, driving platform workers to overcome immense hurdles to organise and fight for better protections.

So, what does the platform economy look like in a developing nation of 1.4 billion people?

Similar to most countries, India has seen a proliferation of various platforms cropping up in recent years, most of which expanded rapidly during the COVID-19 pandemic.

Take Zomato, one of the giants of the sector. Founded in 2008 as ‘FoodieBay’, it began as a restaurant review site. In 2010, it rebranded as Zomato and continued expanding its review services globally. By 2015, Zomato began experimenting with food delivery; initially, it partnered with other delivery services, only establishing its own fleet in 2017. During the 2020 pandemic, Zomato seized the moment as Indian states announced social distancing measures to expand aggressively—acquiring UberEats‘ Indian operations on one hand, and launching a grocery delivery service on the other. By this year, Zomato has become India’s largest food delivery platform, commanding a 58% market share in the restaurant delivery sector.

◉ A Zomato delivery rider making a delivery. Source: India.com

Why did the pandemic accelerate Zomato’s expansion so effectively? Partly, it was due to the surge in demand for delivery as people were isolated; partly, it was because the pandemic dealt a severe blow to the Indian economy, leading to widespread unemployment. During the New Year’s Eve strike, Western media interviewed numerous delivery riders on the streets of India. Many revealed they had previously been sole traders or small business owners whose cash flow collapsed during the pandemic, forcing them to shut their shops and turn to delivery work to survive.

In India, the world’s most populous nation, the strategy of delivery giants has been to ramp up investment, slash prices, and strive for a monopoly. Delivery costs in India are remarkably low. Data shows that Zomato’s average delivery fee is approximately 12.5 Indian Rupees (roughly £0.12). After paying the rider, the revenue from a single delivery is insufficient to sustain a massive platform. So, how do they keep operating? Firstly, they rely on platform fees from the catering industry—restaurants using the service pay Zomato a commission of 15% to 30% per order. Secondly, they rely on constant investment. Investors believe that once a platform like Zomato achieves a certain level of monopoly over the vast Indian market, it can simply raise prices to reap enormous profits, making them eager to bet on Zomato’s future.

◉ Zomato’s core business operations. Source: Zomato 2025 Annual Report
One staggering figure illustrates this mindset: by January 2026, Zomato’s price-to-earnings (P/E) ratio on the Indian stock market exceeded 1,400. Even among global internet companies known for high P/E ratios, this figure is in a league of its own. During the same period, US-listed companies like Microsoft and Google had P/E ratios of no more than 40. In China, delivery giants such as Meituan have a P/E ratio of less than 30.

III. The Collapse of Small Businesses and the Endless Stream of Riders

For platforms with massive funding, this strategy of sacrificing price for market share is merely a case of ‘growing pains’. However, for India’s small and medium enterprises, and especially sole traders, life has become far more difficult. A trending topic in India in 2024 was the rapid collapse of traditional family-run grocery stores. In 2023 alone, over 200,000 of these shops closed down. During the same period, the number of orders on delivery and e-commerce platforms surged by over 200% annually. Some Indian media outlets pointed out that the hallmark of traditional Indian small shops was fast delivery and low prices. In the era of big platforms, these advantages are utterly demolished when faced with the ‘predatory pricing’ employed by platforms like Zomato, which are willing to incur any cost to seize the market.

Consequently, a vicious, accelerating cycle has taken hold in India: delivery and e-commerce platforms rise in prominence, aggressively slashing prices to secure a monopoly in India’s vast market. These price cuts leave a multitude of small shops and business owners unable to compete, turning them into the unemployed. With few alternatives in terms of manual labour or office work, many of these people are absorbed by the platforms, buying their own motorcycles to ‘partner’ with them as delivery riders.

◉ Indian media reporting on whether platforms are ‘killing restaurants’. Source: YouTube
In India, platformisation seems to be an unstoppable trend. It is estimated that by 2025, there will be over 10 million platform workers in the country. Furthermore, NITI Aayog (the National Institution for Transforming India) predicts that by 2030, the number of gig economy workers will grow rapidly to approximately 24 million, the majority of whom will be platform workers.

Against the backdrop of such an ‘oversupply’ of labour, the Zomato founder’s comment—asking how people could be attracted to work if the system itself were unfair—is a classic case of ‘let them eat cake’. Precisely because of this buyer’s market, Indian delivery riders face ever-increasing pressure regarding both their delivery targets and their income.

IV. Excessive Working Hours Threaten Road Safety

Media interviews reveal that riders in India’s major cities, working roughly 15 hours a day, earn around 25,000 rupees (approximately 2,000 RMB) a month—slightly above the average Indian wage. However, once the cost of the motorbike and fuel is factored in, alongside the need to pay for their own insurance and medical expenses following accidents, the pay becomes far less attractive. That so many are willing to take on such work is simply a reflection of the limited options available in the job market.

Safety and accidents are pressing issues for many Indian riders, stemming largely from the platforms’ insistence on squeezing delivery times for every order. Riders complain that existing targets already force them to run red lights, flout traffic rules, take reckless risks, and work themselves to the point of exhaustion. “To complete the task on time, we have to go faster and faster. If we aren’t fast enough, we won’t deliver on time. Once I receive an order, the only thing on my mind is to hurry, hurry—that’s the only way to take on more orders.”

The riders participating in the strike contend that the new “10-minute delivery” target is a bid for market share that completely disregards rider safety. Moreover, should an accident occur, they have no employment contracts; the platforms treat them merely as “independent contractors”. In a meeting with Indian Parliament member Raghav Chadha, the riders highlighted their deep concerns regarding safety—particularly the risk of injury or crashes under intense time pressure and the total lack of support thereafter.

◉ Member of Parliament Raghav Chadha meets with riders. The riders discussed issues including excessive online hours, dwindling incentives, rising fuel and maintenance costs, the lack of provident funds and employment insurance benefits, and the arbitrary banning of accounts. Source: YouTube
Beyond the issues of safety and delivery times, the Indian delivery riders involved in this strike also demanded an increase in pay per order, as the cost of fuel—which they pay for themselves—continues to rise due to fluctuations in international oil prices. They further demanded transparency regarding the companies’ complaint and banning mechanisms, noting that false complaints can lead to accounts being banned, while the appeals process is arduous. The two associations organising the strike—the Indian Federation of App-based Transport Workers (IFAT) and the Telangana Gig and Platform Workers Union (TGPWU)—have characterised these mechanisms as “algorithmic exploitation“.

V. Contract Workers or Sole Traders?

The gig economy is by no means a new phenomenon in India. Since independence, the number of formal employment opportunities has consistently fallen far short of demand, forcing a vast portion of the population to seek income through various odd jobs. However, unlike the gig economy of the past, the new platform-based gig economy operates under the guise of formal large corporations while bypassing the regulations and constraints typically imposed on such firms. Workers in this system find it harder to enjoy the flexibility once found in family or community-based businesses, and they no longer have the same access to the support of informal networks.

In recent years, several trade unions for gig workers have emerged in India. The Telangana Gig and Platform Workers Union (TGPWU), which spearheaded this action, along with several other unions, has previously organised protests for app-based domestic workers and ride-hailing drivers, highlighting issues such as substandard pay and discrimination based on caste and identity.

◉ The TGPWU website states: “TGPWU aims to promote the interests of gig and platform workers in Telangana, India. We fight for higher pay, fair and dignified working conditions, and the welfare of gig and platform workers. We have no affiliation with any app-based platform company.” Source: TGPWU official website
In India, delivery platforms have also attempted to curry favour with the upper castes; in 2024, Zomato briefly launched a “Pure Veg” delivery service. Riders argued that this would lead to discrimination based on caste and religious identity, as those deemed “unclean” would be excluded from the specialised delivery fleet. Following protests from unions and the public, Zomato eventually scrapped the service.

Due to the inherent nature of platform work, the gig economy is often seen as a difficult environment for establishing employee associations and trade unions. To counter this reality, Indian associations have increasingly used social media to mobilise and connect workers, using short videos to spread awareness about occupational safety, tax returns, and social security registration. Simultaneously, they campaign for offline “rest stops” for riders, using these physical connections to collect and report grievances as a follow-up to their online campaigns.

A report published by the TGPWU in 2025 revealed that 62% of surveyed gig workers felt that union activities had brought them some benefit, including providing a platform to voice their demands and breaking the deadlock where individual workers were unable to engage in dialogue with the platforms.

◉ “The Impact of Extreme Heat on Gig Workers: A Survey Report” published by TGPWU in 2024. Source: TGPWU official website
Many have pointed out that, according to legal precedents in India from half a century ago, platform gig workers should technically be classified as formal employees. A 1947 Supreme Court of India ruling noted that the primary distinction between an “independent contractor” and an employee is that the latter has no control over the content or form of their work—they cannot decide what specific tasks to perform or how to perform them. From this perspective, algorithms and platform apps fit this definition perfectly. Yet, regarding the issue of the internet platform economy, the Indian government and judiciary have largely turned a blind eye to this precedent.

VI. Platforms Summoned for Talks

The actions of the Indian riders cannot be viewed as a complete “failure”. Regarding the demand to scrap “10-minute delivery”, the riders achieved a modest victory: on 13 January, Indian media reported that the central government had summoned several delivery platforms and demanded they cease advertising “10-minute delivery” guarantees. However, the government appears to have merely requested that platforms stop promoting the speed of delivery rather than cancelling the services entirely. This means the victory for delivery riders remains limited.

Furthermore, as similar walkouts have increased in recent years, and pushed forward by various associations for riders and platform gig workers, the Indian central government—while unwilling to recognise riders as “employees”—is considering a plan to bring platform gig workers under social security and regulatory frameworks. Some state governments have already passed legislation or are preparing to do so to provide legal protections for platform workers.

Among them, Rajasthan has already enacted legislation, while several other states, including Karnataka, have entered the legislative process. A common thread in these laws is the requirement for platforms to allocate approximately 1% to 5% of per-order income to establish a protection fund for riders. Additionally, most of the legislation requires companies to provide riders with full contracts and to register them with the government. While these are not employment contracts and the benefits are meagre—not to mention the challenges of enforcement—the underlying logic mirrors recent platform economy management legislation in places like Singapore: treating platform labour as a state similar to employment and requiring platform companies to assume a portion of the responsibility for mandatory social insurance.

Foodthink Author

Azi

International News Reporter, Freelance Writer

 

 

 

 

Editor: Tianle