Paytm Layoffs: Employees of Fintech Major Complain About Forced Voluntary Resignations and Informal Processes, Says Report
Paytm is facing a crisis and allegations of forcing employees to resign without severance pay and using informal layoff processes, though the company denies these claims and responds that it is committed to fair and transparent employee transitions.
New Delhi, June 15: Paytm, a leading fintech major, is facing a crisis following the Reserve Bank of India's (RBI) decision to discontinue its Paytm payments bank and wallet business. The company has initiated a series of layoffs that have affected many employees. Paytm is facing allegations from employees regarding layoffs.
According to multiple reports, Paytm employees complained that they were forced to resign. These allegations also include reports of informal processes being used during the layoffs. Employees have expressed concerns over the fairness of these layoffs by raising questions about the company's approach to downsizing its workforce. Meta Layoffs: Mark Zuckerberg-Run Company To Lay Off Around 50 Incompetent Vice Presidents Amid Restructuring.
As per a report of Livemint, employees of Paytm allege that they were forced to voluntarily resign without receiving severance pay and that the processes used were informal and unprofessional. These claims suggest that the layoffs were not conducted in a transparent or respectful manner. The employees are also complaining about the lack of formal documentation in the termination process, with HR meetings being referred to as "connect" or "discussion" calls without any formal documentation being provided.
Paytm's Response to Allegations
The Paytm spokesperson's statement addressed the allegations and clarified Paytm's position on the matter, emphasising the company's commitment to fair and transparent practices in its employee transitions. Paytm has firmly denied the allegations made against the company. In a statement the company spokesperson said, "We strongly deny allegations pertaining to any forced action on employees or unfair treatment." The company ensures that employees are informed about their termination through official channels and follow the procedures outlined in their appointment letters. X Layoffs: Employees at Elon Musk-Owned Company Fear About Potential Job Cuts Amid Delayed Performance Review, Says Report.
To facilitate a smooth transition, the company is providing full notice periods for departing employees. Additionally, the organisation is providing outplacement assistance by timely processing of accrued bonuses as part of the full and final settlement package.
(The above story first appeared on LatestLY on Jun 15, 2024 11:18 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).