In a strategic move reflecting the intensifying competition in India’s $5.5 billion quick commerce sector, Blinkit has revamped its employment contracts for key personnel. The company has abandoned its ‘zero notice’ policy, implemented just months ago in July, in favour of a two-month notice period for top-level staff, as reported by Moneycontrol.
Blinkit scraps ‘Zero Notice’ policy amid peer pressure
This shift comes as Blinkit faces mounting pressure from rivals such as Zepto, Flipkart, and Swiggy in the race to secure and retain top talent. An industry insider explained the rationale behind the change, stating, “This is a preventive measure.
Companies like Zepto, which is well-funded, or Flipkart, can offer lucrative deals to Blinkit employees, making it easy for them to jump ship. Blinkit is trying to safeguard its workforce by making such changes.”
The quick commerce landscape has seen significant developments recently, with Zepto raising $340 million and Walmart-owned Flipkart expanding its Flipkart Minutes service across multiple Indian cities. Meanwhile, Swiggy has received approval for what is expected to be one of the largest IPOs by a new-age company in recent years.
What’s Blinkit’s ‘garden leave’ policy for employees?
In addition to extending notice periods, Blinkit has introduced a “garden leave” policy for employees suspected of joining direct competitors. This measure aims to prevent the transfer of sensitive information by immediately relieving such employees of their duties for two months.
While the company is the first major player in the sector to implement these changes so soon after introducing a zero notice policy, the practice of talent poaching is widespread in this rapidly evolving industry.
As the quick commerce sector continues to grow and attract significant investment, the competition for skilled professionals is likely to remain fierce, potentially leading to similar policy changes across the industry.
