Zomato to lay off 240 staff as it shuts Hyderabad customer-support operations

Zomato is consolidating remaining in-house customer support in Gurugram and shifting more work to external partners. Affected Hyderabad employees will receive four months’ pay, extended insurance and outplacement support.

— Source publishedMon, 31 Aug, 2026, 15:08 IST·First seen Mon, 31 Aug, 2026, 15:13 IST·Source Inc42

What happened

Zomato is shutting its Hyderabad customer-support operation and laying off about 240 staff, consolidating remaining in-house support in Gurugram while shifting

Key facts

  • Around 240 employees laid off
  • Around 250 employees cited in an earlier report
  • Four months' pay for affected employees
  • Benefits continue until March 31, 2027
  • Around 600 customer-support employees laid off in April last year
  • 86 facilities inspected in Maharashtra
  • 14 food-establishment licences suspended
  • 60 improvement notices issued

Why this matters

Zomato’s move underscores the strategic value of scalable outsourced-support capabilities and potential partnership opportunities with customer-service platform providers.

What to watch

  • Changes in customer-support response times, complaint volumes, refund rates and app-store ratings after the transition.
  • Evidence of rising customer churn, lower order frequency or increased promotional spending relative to Swiggy.
  • Management commentary on adjusted EBITDA, employee costs and outsourcing expenses in upcoming results.
  • Further layoffs, office closures or hiring freezes in operations, technology or corporate functions.
  • Vendor service-level failures, data-security incidents or public backlash from affected employees.
  • Shift additional customer-support volumes to outsourced partners with tighter cost-per-contact targets.
  • Expand AI-led self-service, chat automation and automated refund workflows to reduce human-agent demand.
  • Concentrate retained escalation, fraud, merchant and high-value customer teams in Gurugram.
  • Review other back-office locations and overlapping corporate roles for consolidation opportunities.
  • Use severance and transition support to limit reputational fallout and labor-relations risk.