The Labour Ministry has issued a notice to Paytm, alleging forced termination of employees without a fair exit process. The notice, sent by the regional labour commissioner in Bengaluru, addresses complaints of unfair employee practices at the Noida-based fintech company.
Paytm, which has been under regulatory scrutiny due to persistent non-compliance at its banking unit, is accused of forcing employees to voluntarily resign without prior notice. Furthermore, the company has also denied severance pay, and demanded repayment of joining and retention bonuses.
Several employees have filed complaints against Paytm with the Labour Ministry’s Samadhan portal, citing unfair practices.
A Paytm spokesperson indicated that the company values the contributions of all its employees and remains humbled by their dedication. The decision to transition some employees, it was noted, was a difficult one for all parties involved and was made only after careful consideration of all available options. Furthermore, it emphasised that as an organisation committed to providing the best to its teams, Paytm has strived to offer the best possible support to transitioning employees, ensuring fairness and transparency throughout the process.
Additionally, the company mentioned that it is attempting to resolve issues expressed by affected employees and is actively listening to their feedback.
The Labour Ministry has requested that representatives from Paytm’s management and the complainants appear before the department with relevant records. Earlier this year, the RBI imposed severe restrictions on Paytm Payments Bank (PPBL) due to ongoing non-compliance issues.
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Dear paytm salary departments please give me my salary