Paytm layoffs: Employees allege forced resignations, unfair treatment
Several current and former employees of Paytm have voiced concerns over alleged forced resignations, lack of severance pay, and demands for the return of retention and joining bonuses. The layoffs have reportedly been ongoing since October, with some employees attempting to negotiate pay cuts instead of job losses. However, they claim they were coerced into "voluntarily resigning" and were not provided with severance pay.
Allegations of informal termination process and bonus retrieval
The termination process has been labeled as informal by some employees who allege that Paytm did not formally communicate the restructuring or job loss and warned employees against recording HR meetings. An employee stated, "The calls with HR are labeled as 'connect' or 'discussion.' There is no formal documentation of any kind." They also allege that the company is demanding the return of their joining and retention bonuses, which was not mentioned in their offer letters.
Paytm's response and employee's financial struggles
In response to these allegations, Paytm has denied any forced action on employees or unfair treatment. A company spokesperson stated, "We have rigorously ensured that our HR teams have informed employees about their termination through official channels only." The spokesperson added that all transitions are undertaken as per norms laid out in the appointment letter of these employees. Since RBI's curbs on Paytm Payments Bank, the fintech company has been struggling to maintain profitability, leading to a wave of layoffs.
