- Paytm plans to hire about 4,000 employees to expand its AI and merchant network
- Shares rose up to 2.49%, trading around Rs 1,057.4 as of June 9 morning session
- Current staff is about 40,000 with a planned 1% layoff after performance reviews
Paytm parent One97 Communications shares rose after the opening bell on Tuesday, June 9 as a report stated that the fintech firm plans to hire about 4,000 people as it aims to expand merchant network and artificial intelligence-driven products.
Paytm share price advanced up to 2.49% trading at Rs 1,057.4 apiece. The scrip was trading 2.26% higher by 9:51 am, while the benchmark Nifty 50 index was 0.28% up.
The latest share price surge comes after a report by Bloomberg News said that Paytm is planning to increase its headcount by 10%. The firm currently has about 40,000 employees, while it intends to lay off 1% of its staff, or about 400 people, after the current performance appraisal cycle, the news portal said citing a company spokesperson said. These job cuts come after significant reductions last year.
Paytm's recent hiring plan includes role for senior leadership roles, will continue till March 2027. The Delhi based firm will recruit across teams including product, technology and AI.
“Over the last two months, we have added more than 800 people and are in the process of recruiting a further 4,000,” the report quoted a company statement.
One97 Communications has reported four straight quarters of profit, rebounding after the Reserve Bank of India's action against its banking affiliate Paytm Payments Bank. The firm had cut more than 4,500 roles in the aftermath of those curbs. The central bank instructed a formal wind-down in April by cancelling the operating license of its payments bank.
Paytm has laid off most of its staff in the last two years, while some were absorbed elsewhere in the company. It will also lay off few hundred remaining staff after it shuts down, the report said.
Founded by Vijay Shekhar Sharma in 2010, the fintech platform started offering prepaid mobile recharges but soon moved to digital payments and banking.Once backed by SoftBank Group Corp and Alibaba Group Holding Ltd, Paytm made its stock market debut in 2021. The shares have surged around 7% over the past year, but continues to remain more than 50%down from its IPO price.
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