Several employees of Paytm are reportedly facing imminent job cuts, with some revealing to The Times of India that they were compelled to “voluntarily resign” after unsuccessful negotiations for pay reductions. Allegations include not receiving severance pay and being asked to return retention and joining bonuses.
According to the employees interviewed by the paper, these actions were initiated without formal communication of restructuring or job losses from Paytm. Employees claimed HR meetings were labeled as ‘connect’ or ‘discussion’, lacking formal documentation.
Furthermore, employees stated that Paytm demanded the return of bonuses, citing clauses from offer letters not previously disclosed. They also alleged that while they voluntarily resigned to avoid termination, some are seeking legal advice for a fair exit process.
A former lending team employee highlighted discrepancies, stating promises made in a recent townhall by Paytm founder Vijay Shekhar Sharma about job security were not upheld.
In response, Paytm denied all allegations, asserting that terminations were communicated through official channels and in adherence with appointment letter norms. They emphasized honoring full notice periods and providing additional support like outplacement services.
The situation follows RBI’s action against Paytm Payments Bank (PPBL), contributing to organizational restructuring efforts since October. Former employees expressed financial strain, with one claiming to have borrowed to repay a ₹2 lakh bonus after abrupt termination in January.
Overall, Paytm maintains its focus on building a leaner organization geared for sustainable growth, while ensuring support for affected employees during this transition.
