Zomato has laid off around 500 employees as a result of its in-house customer-support platform, Nugget, which is powered by AI.
Nugget is capable of handling 15 million customer interactions per month and can solve up to 80% of customer queries, reducing the need for human intervention.
The impacted employees were reportedly forced to resign, leaving them surprised and without any prior indication of the layoff.
Employees were informed of the layoff through Slack and were given two months' salary as severance, without any mention of notice period.