Over 10,000 BluSmart Drivers to Protest in Delhi on May 4 - Here's What They Demand

More than 10,000 BluSmart drivers, who were left jobless overnight, are preparing to stage a massive protest at Jantar Manta in Delhi on Sunday, May 4, according to a report published by Inc42. The demonstrators have invited Dalit leader Ramdas Athavale and other political leaders to attend the rally, the report said.

These drivers are seeking the government’s intervention in the EV cab-hailing start-up’s crisis to ensure some form of livelihood support or resolution, the Inc42 report revealed.

Some other demands include ownership of cabs they were running for BluSmart, a mandate of severance pay to drivers in case of shutdown, and a government takeover of BluSmart so that all drivers can get their jobs back, it added.

To give some context around government intervention, Union Home Minister Amit Shah in March had announced the launch of ‘Shakar Taxi’ --- a government backed initiative aimed at offering an alternative to giants like Ola, Uber, and Rapido. Unlike private platforms, Sahkar Taxi will operate on a “zero-commission” model.

In addition, around 120 women were also reportedly affiliated to the platform as drivers under BluSmart’s Sakhi project. These women drivers were also left jobless amid ongoing financial and legal crisis at the start-up.

Some media reports, however, suggested that BluSmart may come back with its cab-hailing operations this month, May.

Will BluSmart Come Back?

The Bengaluru-based new-age company is reportedly in talks with two large-scale distressed funds with a focus on climate and mobility sectors to revive its operations, Business Standard had reported. The possible resumption of cab services may bring relief to several customers, drivers and employees whose employees have been on hold since March.

The company is grappling with mounting operational losses, unsuccessful expansion efforts, and the resignation of key executives, prompting a desperate push to generate cash. Additionally, BluSmart has reportedly started removing its branding from vehicles at its Bengaluru-based Sarjapur hub, preparing to transition them to Uber's network.

BluSmart’s substantial cash burn exceeded Rs 20 crore monthly. Founders Anmol Singh Jaggi and Puneet Singh Jaggi, who hold over 25% of the company, had previously injected significant capital alongside external fundraising. BluSmart operates an all-electric fleet. Uber launched its EV service, Uber Green, in 2023, aiming to deploy 25,000 electric cars through fleet partners like Everest Fleet, Lithium Urban Technologies.