High Ratings, Low Earnings: What Drove Gig Workers at Urban Company to Protest?

The protesters were forced to vacate after Urban Company sued them, leaving their demands unaddressed.

Partners protesting outside the company's office in Gurugram, before the company filed a lawsuit against them.

(Photo: Altered by The Quint)

Gunjan Chowdhary (name changed), a gig worker with home services provider Urban Company, says she could not pick up too many jobs when she was pregnant.

Her 'response rate' was reviewed – and she was moved to a new category called 'Flexi', where gig workers or 'partners' are allowed to do business only three days of the week.

Under this category, she says, her income has reduced significantly and she does not get any benefits.

Gunjan is among the many 'partners' who were protesting outside the Urban Company’s office in Gurugram earlier this week.

The protesters left the site after the company filed a lawsuit against the protesters, calling their activities ‘illegal’ and ‘unlawful’. This is perhaps the first time a new-age tech company has sent a legal notice to workers on its platform. Launched in 2014 as UrbanClap, Urban Company connects customers to home service providers such as beauticians, massage therapists, cleaners, electricians and plumbers, among others.

The partners wrapped up their protests because of the lawsuit, leaving their demands unaddressed.

"We are ready to take the legal route for our voices to be heard," Gunjan tells The Quint.

Protesters camping outside Urban Company's Gurugram office.

(Photo: Sourced by The Quint)

On conditions of anonymity, an Urban Company ‘partner’ who works as a beautician, told The Quint on Wednesday, 22 December, “We have left the protest site... a legal notice was sent to those women who were leading the protest. After that, the police came and asked us to clear the area because Section 144 has been imposed.”

"We want to put our demands forward but nobody wants to be called to court or get arrested. We all have families and children at home."

A beautician who works as a 'partner' with Urban Company

Protesters camping outside Urban Company's Gurugram office.

(Photo: Sourced by The Quint)

The case was filed in the Gurgaon District Court on the same day.

In the lawsuit, Urban Company asked the court to direct protesters to leave the office premises, adding that the protesters had ‘resorted to undertake unlawful means’ in order to destabilise their business.

It stated that a group of women had stayed overnight, laid their bedding, and refused to disperse despite attempts by the administration.

What Forced Urban Company 'Partners' to Camp and Protest?

In telephonic conversations with The Quint, gig workers share that they have been bleeding money, instead of making it.

They are primarily protesting against the 'new categorisation of workers' (such as 'Flexi') and the subscription system. Under the latter, workers are required to pay a stipulated amount which is refundable, basis a certain number of tasks having been performed.

When the administration had informed them about the new categorisations, many of them protested, but were told that it would be implemented regardless. They were then informed that they would have to pay a subscription cost as well, failing to do which, they would be categorised under the 'Flexi' system, where they would be allowed to work only three days a week – Friday to Sunday.

One partner tells The Quint that her manager informed her that she had been shifted to the 'Flexi' system in the first week of December, without her knowledge. "Suddenly I was only getting gigs on the weekends. When I inquired, I was told that I can shift to the 'Smart' category if I pay the subscription fee," she adds.

The partners are expected to start paying subscription fees from January in order to get a certain number of jobs. The partner adds, "Those under the 'Smart' category will get 40-50 jobs and those under 'Flexi' will get 18-29 jobs in a month."

"The 'Flexi' system will impact our earnings as we will not be able to do as much business as before," another partner adds.

“They are asking us to pay an upfront fee of Rs 2,000-Rs 3,000 in order to get a minimum number of jobs. Our earnings are meagre, we do not save up this much by the end of the month,” one of the protesters says.

Protesters further note that apart from the categorisations and the subscription system, they are being asked to give up to 10% discounts to customers from their earnings.

“We would be on the streets like this... how are we supposed to survive?” Gunjan asks.

'Our Savings Are Meagre'

Several protesters say that they joined Urban Company because the gig system would allow them to take up jobs as and when they are available, as opposed to a typical job with fixed timings. This, they say, would have helped them take care of their children and their households. And this is how most companies in the gig economy function.

Urban Company has not publicly commented on the issue yet. The company has 3,800 'partners' in Delhi-NCR and a presence in other 40 locations across India. Besides, it has operations in the UAE, Saudi Arabia, Singapore, and Australia.

Thirty-five-year-old Sandhi Nargis Banu, who was a ‘partner’ with the company in Ahmedabad for four years, tells The Quint that she was unreasonably blocked and her services were discontinued thereafter.

“I have three daughters and I have not been able to pay their fees for the past eight months. The company blocked me eight months ago... it was because I had a personal disagreement with my manager. Since we are not employees, they remove us as and when they please,” Banu says. For the last few months, she has been doing odd jobs in a few salons nearby.

Rajendra Chadha, who joined as a ‘partner’ to work as a masseuse two years ago, too had made a few complaints and has been blocked by the company a few times.

He flags another issue. There is undue pressure to get high ratings, he alleges. “Most of us do the work because we do not have many options. Because of uncertainties over jobs and salary, we stay on."

In a statement, the All India Gig Workers’ Union said, “There is an immediate need to classify gig workers as employees so they may benefit from any legal infrastructure that would otherwise fail to protect them as a result of their employment.”

Although discussions have taken place with the company’s management, no settlement has been reached at. Urban Company has not responded to The Quint on the matter.