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- Labour Commissioner Summons Paytm Management Over Alleged Layoffs, One97 Communication
New Delhi28 minutes ago
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The Regional Labor Commissioner of Bangalore has issued summons to Paytm’s parent company One-97 Communications. This summons has been given to the company in the matter of forced dismissal of some employees.
Some time ago, news came that some employees of the company had filed several complaints with the Ministry of Labor and Employment. The company was accused of violating the laws and forcibly sacking the staff.
This notice has been issued by the Regional Labour Commissioner (Central) of the Deputy Chief Labour Commissioner (Central), Ministry of Labour and Employment.
According to the notice, Paytm management and the complainants have been asked to appear at the Labor Department’s office with all the necessary records.
We value the contribution of all our employees: Paytm
In this case, a Paytm spokesperson said, “We understand the importance of the contribution of all our employees and appreciate their dedication. The decision to relieve some employees is a difficult one and has been taken only after deliberating on all available options.”
We have tried to help the retrenched employees in every possible way
The management team also said that it has tried to help the retrenched employees in every possible way and has maintained fairness and transparency in the entire process.
The spokesperson said, ‘We are there to discuss and resolve any problems faced by the affected employees. Apart from this, we will continue to work closely with all concerned parties for the betterment of our employees.’
what is the whole matter
Employees who were forced to resign by the company without any notice or package had lodged complaints through the Labour Ministry’s Samadhan portal and other public channels.
In these complaints, reappointment was demanded along with the necessary email. After the Reserve Bank of India (RBI) imposed restrictions on Paytm Payments Bank, this firm had done a large-scale restructuring. Under this, many employees were laid off.
Paytm Payments Bank deposits stopped after March 15
On January 31, RBI had imposed major business restrictions on Paytm Payments Bank citing non-compliance with the rules for a long time. Then RBI had issued a circular saying that money cannot be deposited in the account of Paytm Payments Bank after February 29.
Money cannot be deposited in wallet, prepaid services, fastag and other services through this bank. However, later RBI extended this deadline till March 15. Deposits in Paytm Payments Bank have been stopped after March 15. RBI had found major irregularities in Paytm’s KYC, due to which customers were at serious risk.
Paytm had not done the KYC of lakhs of customers. PAN validation of lakhs of accounts was not done. Single PAN was being used for multiple customers. On many occasions, wrong information was also given to RBI by the bank. RBI had also found a large number of inactive accounts.

Paytm was started in 2009
Paytm’s parent company One97 Communications launched the Paytm payment app in August 2009. Currently, Paytm has more than 30 crore users in the country. Paytm’s market cap is Rs 29.39 thousand crore.
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