07-08-2025
TCS rolls out pay hikes; Paytm trims headcount in FY25
TCS rolls out pay hikes; Paytm trims headcount in FY25
Want this newsletter delivered to your inbox?
Also in the letter:
TCS walks a tightrope: Raises pay while cutting 12,000 jobs
What's happening?
Behind the scenes:
The layoffs are concentrated in mid- and senior-level roles.
The company is doubling down on AI-led delivery and operational efficiency.
Growing backlash:
Paytm cuts headcount by 10% in FY25
Number-wise:
In FY24, Paytm had 43,960 active on-roll employees across the company and its subsidiaries.
In FY25, that number dropped to 39,368.
As a result, employee costs (including stock options) fell by Rs 651 crore to Rs 2,743 crore.
Verbatim:
Setting context:
Financials:
Also Read:
Sponsor ETtech Top 5 & Morning Dispatch!
Why it matters:
The opportunity:
Reach a highly engaged audience of decision-makers.
Boost your brand's visibility among the tech-savvy community.
Custom sponsorship options to align with your brand's goals.
What's next:
BharatPe turns the page with Rs 6 crore profit
Tell me more:
Why it matters:
It's also diversifying:
Quote, unquote:
SoftBank's tech bets deliver $2.87 billion Q1 profit, big AI swings ahead
What's new:
Why it matters:
Also Read:
Apple doubles down on US production amid Trump tariff threats
The plan:
Apple will build a new 250,000-sq-ft AI factory in Houston to power its Apple Intelligence systems.
A new manufacturing academy in Detroit will help small US businesses adopt AI tools
Also Read:
Backdrop:
Why it matters:
Winners: US-based chipmakers like TSMC, GlobalWafers, and Nvidia stand to benefit.
Losers: Southeast Asian suppliers and smaller countries dependent on Apple's global supply chain.
Weeks after announcing massive layoffs, TCS said it will raise salaries for 80% of its workforce. This and more in today's ETtech Top 5.■ BharatPe swings to black■ SoftBank delivers Q1 profit■ Apple doubles down on USIndia's largest IT firm, Tata Consultancy Services (TCS), is attempting to find a delicate balance between employee morale and business company will raise salaries for 80% of its workforce starting September 1, mainly benefiting junior and mid-level employees (up to grade C3A). The move comes despite plans to cut around 12,000 jobs globally , a sweeping 2% reduction in had skipped its usual April salary hike , citing global macroeconomic uncertainty. The pay bump now follows a 100% variable payout to 70% of its staff in May, a clear signal that the company wants to retain key talent even as it tightens its belt is in the midst of one of its largest restructurings to date, aiming to become 'future-ready.'Labour unions have called the layoffs illegal and filed complaints under the Industrial Disputes Act. The Karnataka IT union (KITU) has escalated the issue to the state labour department. Protests are scheduled for August 19, with another conciliation meeting between TCS and union representatives set for September 8 Paytm founder Vijay Shekhar SharmaFintech major Paytm trimmed its workforce by 4,592 in FY25, sharply bringing down employee costs as part of a wider restructuring effort, the company revealed in its latest annual reduction follows a sharp 34% rise in employee costs between FY23 and FY24."We took some tough calls, pruned and sold businesses, and doubled down on our core of payments, ensuring the preservation and growth of our cash reserves," founder and CEO Vijay Shekhar Sharma said in a letter to headcount reduction follows the Reserve Bank of India's directive in February 2024 to halt the operations of Paytm Payments Bank . The move forced the company to scale back aggressively, triggering layoffs and subsequent complaints with the labour the April-June quarter, Paytm swung to its first-ever quarterly profit of Rs 123 crore, compared to a loss of Rs 840 crore in the same period last Top 5 and Morning Dispatch are must-reads for India's tech and business leaders, including startup founders, investors, policy makers, industry insiders and Reach out to us at spotlightpartner@ to explore sponsorship Negi, CEO, BharatPeBharatPe has swung to its first adjusted pre-tax profit of Rs 6 crore in FY25, pulling off a sharp rebound from a Rs 342 crore loss in the previous year. Ebitda came at Rs 141 crore, while revenue climbed to Rs 1,734 turnaround is being steered by CEO Nalin Negi, who took over in April 2024 after a bruising period of founder exits and internal strife. Negi credits the Rs 1,000 crore in revenue from financial services, driven by merchant loans and its non-banking financial company (NBFC) Trillionloans, as the engine behind the marks a new chapter for BharatPe. The fintech is now aiming for a $100 million fundraise, ET reported on July 31 , and is confident of posting net profit in FY26. It also plans to go public within 18–24 armed with a UPI TPAP licence, the company is piloting consumer loans and has begun building a digital wealth platform, Invest BharatPe. It has also sharpened its focus on smaller merchants instead of chasing Razorpay-sized scale.'We are chasing growth, but don't want to be a very-high-burn company,' said Negi, hinting at BharatPe's cautious yet ambitious post-turnaround Son, founder, SoftBankSoftBank Group posted a net profit of $2.87 billion in Q1 FY26 , lifted by a rebound in tech stocks and a sharp rise in South Korean ecommerce firm Coupang's share price. Its Vision Funds booked nearly $5 billion in investment gains, a rare bright spotn for the Japanese group after years of is placing its biggest AI bet yet. It is leading a $40 billion funding round for OpenAI and backing Stargate, a $500 billion US-based data centre project touted as the world's largest AI infrastructure build. Founder Masayoshi Son has said he wants SoftBank to become the 'organiser of the AI industry.'Still, funding remains unclear. SoftBank recently raised $4.8 billion by trimming its T-Mobile stake. It has yet to outline full financing plans for its AI Vision Funds have returned just $5 billion on $172 billion deployed. That track record, plus concerns around debt and ongoing asset sales, makes this return to risk a bold and precarious now face a crucial test of Son's vision as SoftBank shifts from survival mode to a new tech is pouring an extra $100 billion into US manufacturing, stepping up its domestic game as tariff threats from President Donald Trump loom company took a $1.1 billion hit this quarter from Trump-era import duties. Now, with a fresh round of tariffs on the table—potentially 25% on iPhones made overseas—it's moving fast to shore up US are part of a sweeping $500 billion investment push in the US announced earlier this has threatened a 25% tariff on iPhones not made in the US (read: assembled in China and India), and floated 100% tariffs on imported semiconductors, while offering relief to companies that build at homeWith tensions between the US and China still running high, and AI increasingly seen as a national security issue, Apple's shift is as much about defence as strategy. The move also shows how Big Tech companies are adjusting to Trump's erratic tariff rollout.
