When Swiggy went public on November 13, it created a wave of new millionaires among its team. Out of Swiggy’s workforce, 70 current and former employees are set to receive over Rs 8.5 crore each (around $1 million), marking them as “dollar millionaires.” In total, Swiggy’s 5,000 employees are sharing an astounding Rs 9,000 crore, thanks to the company’s extensive ESOP (employee stock ownership plan) program.
ESOPs have been game-changers in the tech world, turning everyday employees into millionaires when companies go public or make large-scale buybacks. For instance, Swiggy’s RS 11,327 crore IPO has rewarded thousands of employees across all levels—from software engineers and product managers to delivery executives with long-standing tenures.
Here’s how it works: Employee stock options allow employees to buy shares in their company, often at a discounted price. The longer they work for the company, the more shares they “vest,” which they can sell for a profit. This system gives employees a stake in the company’s future, driving loyalty and performance.
Of Swiggy’s 5,000 employee shareholders, 500 will make at least Rs 1 crore each, and out of these, 70 employees will earn over Rs 8.5 crore each. This is similar to how Flipkart made history by paying out Rs 5,800 crore in ESOPs to 17,000 employees in 2023, with five share buybacks adding up to around $1.5 billion over the years.
This kind of employee reward is rare in India’s startup ecosystem. Swiggy’s rival, Zomato, set up an ESOP pool worth around Rs 7,000 crore before its IPO in 2021, and it continues to reward employees regularly.
The list of Swiggy’s leadership who benefited from ESOPs ahead of the IPO includes co-founders Sriharsha Majety, Nandan Reddy, Phani Kishan, as well as other key executives such as food marketplace CEO Rohit Kapoor, Swiggy Instamart head Amitesh Jha, CFO Rahul Bothra, HR head Girish Menon, and CTO Madhusudhan Rao. Together, they received approximately $200 million (Rs 1,600 crore) in ESOPs, highlighting the significant impact of these stock option programs.
- Through IPOs like Swiggy’s, employees not only get a chance to share in their company’s success but also see their hard work and long-term commitment pay off in life-changing ways. For example, a senior product manager who joined Swiggy in its early years might be sitting on options worth millions now, able to buy a new house or fund their children’s education. For many, ESOPs aren’t just a financial perk—they’re a powerful incentive that has brought them into the heart of the company’s success story.
