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Zomato cuts 250 support jobs, shifts to outsourcing and automation

Zomato cuts 250 support jobs, shifts to outsourcing and automation

Zomato has shut down its customer support centre in Hyderabad, resulting in 250 job losses. The move is part of a restructuring of its support model, with more work being outsourced to external partners and automated. The company is consolidating in-house support operations at its Gurugram headquarters, closer to product, technology, and analytics teams. Affected employees will receive August salary, four months' pay, and medical insurance until March 2027. This reflects a broader trend among consumer internet companies to reduce in-house support teams in favour of external service providers and automation. Key signal: Zomato shut its Hyderabad customer support centre, cutting 250 jobs, as part of a shift to outsourcing and automation. For hiring leaders, this signals a shift in how companies are structuring support functions. The move to consolidate support near product and tech teams in Gurugram, while outsourcing the rest, suggests a preference for smaller, more integrated in-house teams. It also highlights the growing role of automation and AI in customer support, which may reduce demand for traditional support roles but increase need for AI and automation specialists. Companies should evaluate their own support models and plan for reskilling or redeployment of affected staff. Teksands view: Zomato's restructuring is a textbook example of how AI and outsourcing are reshaping support functions. For hiring leaders, the takeaway is clear: invest in upskilling your support teams for higher-value tasks, or risk them being automated away. The demand for traditional support roles will decline, but there will be a growing need for people who can manage AI tools, analyse customer data, and handle complex escalations. Companies that plan for this shift now will have a competitive edge.

Key fact

Zomato shut its Hyderabad customer support centre, cutting 250 jobs, as part of a shift to outsourcing and automation.

Why it matters

For hiring leaders, this signals a shift in how companies are structuring support functions. The move to consolidate support near product and tech teams in Gurugram, while outsourcing the rest, suggests a preference for smaller, more integrated in-house teams. It also highlights the growing role of automation and AI in customer support, which may reduce demand for traditional support roles but increase need for AI and automation specialists. Companies should evaluate their own support models and plan for reskilling or redeployment of affected staff.

The Teksands point of view

Zomato's restructuring is a textbook example of how AI and outsourcing are reshaping support functions. For hiring leaders, the takeaway is clear: invest in upskilling your support teams for higher-value tasks, or risk them being automated away. The demand for traditional support roles will decline, but there will be a growing need for people who can manage AI tools, analyse customer data, and handle complex escalations. Companies that plan for this shift now will have a competitive edge.

Read the original source at The Times of India →

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