10 Minute Delivery: The 10-minute delivery model has become increasingly popular in India, but now this model seems to be facing serious challenges. On New Year’s Eve, gig workers announced a nationwide strike involving more than two lakh riders across the country. Gig workers are demanding fair wages, safety and respect, while union leaders say the root of the problem is the 10-minute delivery deadline and the situation will not improve unless it is abolished.

Why is the quick delivery model in trouble?

During the COVID-19 pandemic, the demand for fast delivery of essential goods increased in India and this model became popular from here. At that time, even delivery within half an hour was considered a great achievement. However, as soon as the situation returned to normal, quick delivery platforms like Fridge No More, Bike and Getir in America either closed down or faced serious financial difficulties. In contrast, this model continued to spread rapidly in India, with companies claiming to deliver everything from medicines to daily needs in just 10 minutes.

According to a Bloomberg report, companies like Blinkit, Swiggy Instamart and Zepto invested heavily in dark stores or dark warehouses. These are small warehouses inside cities which are built to fulfill orders in a very short time. Initially, big players like Mukesh Ambani, Amazon, Walmart and Flipkart were left behind in this race but now they too are investing heavily in quick commerce.

Real estate firm Savills PLC estimates that the number of dark stores in the country could increase from 2,500 to 7,500 by 2030, and the model will spread to smaller cities as well.

Strike sparks debate

The recent strike has sparked a new debate about the genuineness of the quick delivery model. While the apps claim they do not compromise driver safety, gig workers say poor ratings, pressure from supervisors and financial penalties for delivery delays force them to drive fast and take risks. Working in cities already struggling with narrow roads, chaotic traffic and pollution is inherently dangerous. Poor air quality in the national capital Delhi is also a big challenge for the riders.

Even before the strike, investors were worried about the provision of social security to gig workers under the new labor code. Shares of Swiggy and Eternal (parent company of Zomato and Blinkit) have fallen by about 20 percent since October.

What do the companies say?

Quick commerce companies claim that the strike had no significant impact on their operations. Zomato CEO Deependra Goyal posted on social media platform X that the number of orders delivered on December 31 reached an all-time high of 7.5 million. He held some “mischievous elements” responsible for the strike.

Goyal says that delivery in 10 minutes is possible not because of rash driving, but because of the infrastructure present in every area. According to him, the average speed of the riders is about 16 kilometers per hour. The company pays for drivers’ insurance and they can earn up to ₹102 on average per hour while logged in.

What will happen?

India’s labor market is full of workers. Every year lakhs of riders leave this job but equal number of new people join it. As a result, customers will continue to get fast delivery, but the question is, are gig workers happy, safe and being fairly compensated for the risks they take? This is the fundamental question on which the future of the quick delivery model depends.

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