Blinkit Ends 'Zero Notice' Policy To Combat Talent Poaching: Report

Blinkit is navigating a challenging landscape, contending with rivals such as Zepto, Flipkart, and Swiggy, all of which fiercely compete to attract and retain top talent

Quick commerce firm Blinkit has recently made a major adjustment to its employment contracts, particularly for key personnel, by abolishing its 'zero notice' policy. According to a report from Moneycontrol, the notice period for several top-level employees has been extended from zero to two months. This change is a strategic response to the intensifying competition within the quick commerce industry, currently valued at $5.5 billion in India.

Blinkit is navigating a challenging landscape, contending with rivals such as Zepto, Flipkart, and Swiggy, all of which fiercely compete to attract and retain top talent in this rapidly evolving sector. By implementing a notice period, Blinkit aims to bolster employee retention and stability in an increasingly competitive market.

Implementing more extended notice periods at Blinkit is viewed as a proactive measure to deter competitors from poaching its employees. "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," said a person known with the matter in the report. 

The quick commerce has experienced substantial investment and expansion in recent months, heightening the competitive landscape.

Zepto recently secured $340 million in funding, reinforcing its market position. Similarly, Walmart’s Flipkart has expanded its rapid delivery service, Flipkart Minutes, which has grown from its initial launch in Bengaluru to multiple cities across India.

Meanwhile, Swiggy, another key player in the industry, has received approval for its Initial Public Offering (IPO), representing one of the largest IPOs by a new-age company in recent years.

When Blinkit suspects that an employee may be moving to a direct competitor, the company has begun placing those employees on "garden leave" for two months. This practice aims to prevent potentially sharing sensitive information with rival firms. In some cases, employees are immediately relieved of their duties to mitigate any risk of data leakage, as per the report.

Although Blinkit is the first major quick commerce company to implement such changes to its employment contracts shortly after introducing the zero notice policy in July, talent poaching remains prevalent in the sector. Given that the quick commerce industry is still relatively new and rapidly expanding, it provides fertile ground for competitors seeking to acquire skilled personnel from one another.