Paytm Payment Bank: Paytm Payment Bank is going to fire many of its employees. Sources gave this information to Moneycontrol. Sources said that the company may show exit to many employees of different departments under the Annual Performance Review. Let us tell you that Paytm Payment Bank is already facing many problems due to the action of RBI. Under this action, many restrictions have been imposed on Paytm Payment Bank and its deadline is March 15.

Statement from Paytm Payment Bank spokesperson

Moneycontrol could not know how many employees would be affected. Sources said that some departments have been asked to reduce the size of their team by 20 percent. A Paytm spokesperson did not give any specific numbers regarding the layoffs, but said that the company is in the middle of the annual appraisal cycle, which could lead to performance-based job cuts. Additionally, this is part of a larger AI-powered automation exercise that may impact certain roles.
He further added, “We are in the process of our annual appraisal cycle, which is a common practice in companies, where adjustments may be made based on performance assessment and role suitability. It is important to understand that this process is different from layoffs, which are a regular aspect of performance appraisal in any organization.”

AI boost in Paytm Payment Bank

Additionally, the company said that they are continuing to implement AI-powered automation in their operations, which may further impact some roles. "We continue to transform our operations with AI-powered automation to drive efficiency. This includes redefining certain roles and functions to better align with our growth and cost-efficiency goals," the spokesperson said. "

Paytm Payment Bank employees are facing problems

An employee, on the condition of anonymity, said, “There is an order from the management to restructure the teams by reducing the number of employees in many functions. People are being called one by one by HR to tell them about the layoffs." He alleged that the company is not offering a severance package but is instead giving selected candidates a one-month performance improvement plan (PIP) starting in March. PIP), which will result in possibly being fired from the job. After this, there will be a 30-day notice period.

1000 employees were laid off a few months ago

In December 2023, the company had laid off about 1,000 employees from different units to reduce expenses. With this decision, the total headcount of the company was reduced by about 10%. Paytm had said that working with the help of AI will improve the efficiency of the company. In such a situation, the role of tasks and work for growth will also be less.