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Frenzied Paytm employees flood recruiters with job applications amid crisis
Paytm Crisis: The Reserve Bank of India (RBI) restricted Paytm Payment Bank Ltd (PPBL) from offering almost all major banking services.
Employees of Paytm Payments Bank and its parent firm One97 Communications are rushing to recruiters as they fear more regulatory trouble ahead for the digital-payments company after the Reserve Bank of India (RBI) restricted Paytm Payment Bank Ltd (PPBL) from offering almost all major banking services. Across levels, employees are ready to take pay cuts as well, Mint reported after at a virtual town hall the company's founder and CEO Vijay Shekhar Sharma assuaged employees' fears about the future of the group.
Ramachandran A, CEO of MyRCloud, an AI/ML-driven recruitment marketplace, told Mint, "Given the withdrawal of Paytm from the small-ticket lending business there was a significant layoff of employees very recently and our marketplace received resumes from them. However, after the RBI statement on Paytm, we are seeing CVs from different sets of talent including data science, back-end engineers and other tech talent coming in."
Read more: Paytm's Vijay Shekhar Sharma tells employees amid crisis: 'Don't know what…'
The platform has seen a few hundred resumes uploaded over the past week, he said, adding, “Partners on our platform have received 300-400 CVs, largely from juniors to middle management."
However, Vijay Shekhar Sharma told employees that their jobs were safe and that the company was in touch with RBI. Earlier, it had said that the regulator's action would have a worst-case impact of ₹300-500 crore on its annual Ebitda.
Upasana Agarwal, partner for professional and financial services at ABC Consultants, an executive search and talent advisory firm, told Mint, “Some of the established fintechs – especially payment-solutions firms – attract leadership talent with a combination of fixed and variable pay, and stock options. These stock options could run into crores, which is making it hard for some employees to find other opportunities easily.”
A partner at another recruitment firm told the outlet, “The company retrenched employees over the past few months and candidates reached out for jobs. Many of Paytm's employees draw salaries that are higher than the market rate and will have to take a pay cut.”
