Paytm’s Vijay Shekhar Sharma Says There Will Be No Layoffs Despite RBI Order

Sharma, joined by company President and COO Bhavesh Gupta and PPBL CEO Surinder Chawla, addressed about 800-900 employees during the hour-long call, according to a report by MoneyControl.

The town hall took place three days after the Reserve Bank of India (RBI) restricted PPBL from offering major banking services, including taking deposits, FASTag, and credit transactions. Since the RBI’s directive, Paytm has been seeking partnerships with other banks to navigate the challenges posed by the restrictions.

The MoneyControl report stated that during the town hall, Sharma expressed uncertainty about the situation and mentioned ongoing engagement with the RBI to understand the issues at hand. The RBI’s move has led to a $2 billion decline in Paytm’s stock price, prompting stock exchanges to reduce daily trading limits for the digital payments firm.

An employee was quoted in the report who described Sharma’s tone as “confident and assuring,” emphasizing the importance of job security and the ongoing efforts to establish partnerships with other banks. The employee highlighted that no specific names were mentioned but mentioned that many banks have expressed interest in collaboration.