Forced layoff row: Paytm not to recover joining bonus after Labour Min intervention

After receiving the Labour Ministry's rap over the alleged termination of an employee, the Paytm management on Wednesday appeared before the regional labour commissioner and agreed not to recover the joining bonus from the worker, according to official sources.

Official sources said Paytm has also agreed to make the notice period payment to the said employee.

However, they didn't reveal the name of the employee who got the relief.

An email sent to Paytm on the issue did not elicit a response.

Official sources, meanwhile, said the employee has accepted the exit offer made by Paytm, in the presence of the Regional Labour Commissioner (Central), Bengaluru.

They also said following the parleys, the grievance has been resolved to the satisfaction of both sides.

They further informed that the Regional Labour Commissioner (Central), Bengaluru, acted swiftly in the matter, following a complaint filed by an employee regarding alleged termination practices at Paytm, and immediately issued a notice to the fintech company.

"The representative of the management of Paytm appeared before the Commissioner today and agreed not to recover the joining bonus and to pay the notice period payment to the employee," they said.

The status of certain other staffers is unclear as some other employees too had reportedly expressed their dissatisfaction with the manner, in which Paytm allegedly went about the forced termination.