The country has entered the fourth phase of its extended lockdown period. In the wake of coronavirus pandemic as the country staggers to keep the economy afloat, the ongoing crisis has cost millions of jobs across the sectors.
Swiggy informed the media on Monday, May 18, that it is cutting down about 1,100 jobs and scaling down its adjacent business. Zomato had made a similar announcement which stated that the delivery start-up is cutting down on its employees by 13 per cent.
This move comes at a time when delivery start-ups are trying to survive the coronavirus pandemic. As a consequence of COVID-19, multiple restaurants have closed down with few operating with minimal staff and delivery boys. The pandemic has also made people cautious about ordering food online, which has further dampened the business of these delivery outlets.
The National Sample Survey released estimates which stated that over 136 million non-agricultural jobs are at immediate risk. Workers without a formal contract, working in small companies, or the ones who are self-employed are at the most risk of losing their means of income during this pandemic. With the aviation industry officially declaring that the industry would sustain damage beyond repair if the mode of transportation is not resumed anytime soon, industries such as IT, hospitality, and tourism, the export sector, entertainment, and media have been affected too.
IT companies have already warned their investors about the impending doom which can affect their performance in the coming quarters. As the novel coronavirus intensifies, print media has been hit the hardest with people refusing to come in contact with hard copies of news. Dwindling advertisements along with a serious disruption in the circulation of newspapers and magazines have forced media houses to take drastic steps. From slashing the number of pages and shutting printing to lay-offs, salary cuts and leave without pay for employees. The time's group, the Indian Express Group, Hindustan Times Media Limited, Business Standard Limited and the Quintillion Media Private Limited, which runs the website Quint have all announced salary cuts. News channel NDTV has also announced salary cuts for employees earning more than Rs. 50,000 per month.
The Micro, Small, and Medium Enterprises (MSMEs) which is the backbone of all Indian sectors have been deeply affected by this pandemic too. With almost all MSMEs out of action due to the lockdown, there have been several reports that indicate that MSMEs are reeling under crisis and are out of finance to pay their employees.
However, it is important to note that as India enters the fourth phase of its lockdown, relaxations in certain industries have been allowed. It can be opined that certain industries may witness growth as a consequence of this.
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