Since the RBI's circular on January 31, which effectively prevented them from providing practically all key banking services, there have been new concerns within the company over job layoffs. 

This follows the December 2023 layoffs of nearly 1,000 employees at Paytm. 

Sharma did, however, guarantee that there won't be any layoffs as long as the business keeps collaborating with the RBI and other banks.

Workers informed us about continuous stress and secret meetings with team leaders to gather information and eliminate misunderstandings.

In order to transfer all of Paytm Payment Bank's accounts and maintain its services, Paytm has also started negotiations with other banks. However, it appears that this one will be difficult.

• Top bankers view this as a liability because of the RBI's flagging of supervisory and compliance failures. For UPI businesses that charge no fees, opening new accounts and obtaining new KYCs will be extremely laborious. 
• According to two top bankers, banks won't engage in the project unless they receive a request from the NPCI and RBI.

Paytm's stock, however, is still plunging, closing the third day in a row below the lower circuit. The last three sessions have seen a 42% decline in Paytm's shares.

Since the Reserve Bank of India (RBI) placed limits on Paytm's banking division, the company's shares have seen a sharp decline, falling more than 42% in only three sessions.

It has dropped by 10% today, striking the lower circuit once more. As of Monday morning, the stock was trading at Rs. 438.5, having plummeted from Rs. 761.4 the previous week.

After February 29, the RBI will not allow Paytm Payments Bank to take in new deposits or process credit transactions.