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Are App Based Companies Headed for Union Problems?

If one was to see a recent incident of Dunzo (a Reliance Corporation backed delivery company) in India, then one can say for sure that unions like, Indian Federation of App-based Transport Workers (IFAT, a registered trade union representing such workers) are becoming active and have now started confronting organizations. Local delivery partners, Swiggy, Zomato, Ola, Uber, Urban Company, Zepto, Rapido and Porter are all IFAT members. In this case, Dunzo threatened to ban its delivery partners, if they participated in a strike of any sort. The union took strong objection to this threat and asked the company to address issues of decent working conditions for their workers in areas like minimum wage, health and safety, and social security. This App based transport workers union is a development that needs to be watched closely.

Published on: August 3, 2022

Authors: Dilpreet Singh, Rohit Dhawan

Topics: India

Dilpreet Singh

Chief Advisor, India, HR Policy Association

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Rohit Dhawan

Resource Manager, HR Policy in India, HR Policy Association

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