According to media reports, Dunzo, a quick commerce company facing difficulties, has once again postponed paying its employees for another month. The startup has informed its employees that their outstanding payments will be transferred by the end of the first week of October. Previously, the company had promised to clear the salaries for June and July by September.
The company's report stated that the company would pay an interest of 12% per annum on pending dues. An email notification was sent out, informing that the salaries for June and July, which were due on September 4th, will now be paid in the first week of October. The payment will include the salary dues and an additional 12% p.a. interest calculated for an extra month. The company expressed apologies for the delay and assured employees settling the pending compensation as soon as possible is their top priority. All necessary measures to clear dues and the company is confident that no further delays will occur. This is the third time the quick commerce startup has delayed releasing employee salaries. The company also missed the July 20 deadline and also failed to meet the September 4 deadline.
Reliance Retail owns 25.8% of Dunzo, while Google's stake is just under 20%. In April, Dunzo laid off 30% of its workforce, around 300Earlier this month, Zepto, a competitor of Dunzo, revealed that it had secured $200 million in a fresh funding round, resulting in a valuation of $1.4 billion. employees, due to financial difficulties. Dunzo has been seeking to secure a significant funding round for several quarters. Initially aiming for up to $150 million, the company was only able to obtain $45 million in a recent funding round, according to Indian news outlet Economic Times. In late March, TechCrunch reported that Dunzo was in the process of finalizing a $50 million round.
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