Paytm lays off employees days after CEO Vijay Shekhar Sharma hinted at ‘leaner organisation’

Paytm, one of the leading UPI payments service providers of the country, has laid off an undisclosed number of employees as part of a “restructuring effort”, according to a statement issued by the company’s parent entity One 97 Communications on Monday, June 10.

The laid off employees are being actively provided outplacement support, the statement added. The number of Paytm staff affected due to the restructuring exercise was not mentioned in the company’s release.

"The company's human resource teams are actively collaborating with over 30 companies that are currently hiring, and providing assistance to employees who have opted to share their information, facilitating their immediate outplacement," news agency PTI quoted the release as saying.

Layoffs hinted last month

“Led by capabilities of AI and focussing on core business, we are also working on significant cost efficiencies including leaner organisation structure,” he said on May 22, in a message addressed to shareholders.

Paytm stock recovering

After plunging to an all-time low of ₹310, Paytm stock breached the ₹400-mark during the trading session today. Shortly after the opening bell, the shares had shot up by 8.5% to reach ₹414 apiece on the NSE.

By closing bell, however, it pared most of the gains and settled at ₹389.05, which is 2.03% higher as against the last closing price.