PayTM lays off over 1000 employees in light of advanced AI-based solutions

Amidst reports that close to 1000 of its employees would be laid off, One97 the parent company of PayTM has offered clarity on the situation. 

Confirming the report the company stated that the plan is to reduce employee costs by 10-15%. The company recognised that this move would reduce workforce especially in the domain of marketing and operations. 

Apart from cutting down on costs, the company also aims to streamline its business. The company is relying on Artificial Intelligence- powered automation to transform its operation. In this way the company wants to end the occurrence of repetitive tasks, improve efficiency and anchor growth and subsequent profits. The results of the employment of AI technologies has exceeded the company’s expectation. The layoffs are also a result of the company’s assessment of non performance among employees. 

The company may however require an additional manpower of 15,00 in order to sustain its core payment business in 2024. Additionally PayTM may avail the service of 50,000 salespeople to help in their outreach to salespersons. As of September 2023, the company has reached out to 38 million merchants across India. 

The company aims to tap into the wealth being amassed by younger generations who are more forthcoming in exploring online investment opportunities.