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PayPal cuts 600 India jobs in abrupt call

PayPal cuts 600 India jobs in abrupt call

PayPal has laid off hundreds of employees across its India centres in Chennai, Bengaluru, and Hyderabad, with reports indicating around 600 job cuts. Employees were informed via a conference call on August 31, with system access revoked immediately after, leaving no formal handover. The company spokesperson officially stated the reduction as approximately 220 roles, representing 4% of its India workforce, aligning with a broader global restructuring announced in May that aims to cut nearly 20% of its global workforce (about 5,000 jobs) over the next few years. This move is part of PayPal's strategy to leverage automation and AI to reduce costs, and it follows previous layoffs in 2023, 2024, and 2025. The layoffs are not isolated, as other major companies like Oracle, Uber, Wells Fargo, and Walmart have also announced job cuts in India, contributing to over 175,000 IT sector job losses in 2026. Key signal: PayPal laid off approximately 600 employees in India, with a spokesperson citing 220 (4% of India workforce), as part of a global restructuring affecting 5,000 roles. For hiring leaders, this matters because for CHROs and GCC leaders, PayPal's abrupt layoffs signal a troubling trend: even established global capability centres are not immune to cost-cutting driven by AI and automation. The manner of the layoffs—via a mass call with immediate access revocation—highlights a growing disregard for employee experience, which can damage employer brand and trust. This underscores the need for GCCs to proactively manage workforce transitions, invest in reskilling, and communicate transparently to retain talent and maintain morale. It also raises questions about the stability of GCC roles in India as global firms reassess their footprints. Teksands view: PayPal's layoffs are a stark reminder that no GCC is safe from AI-driven restructuring. The 'call and cut' approach is a brutal but effective cost-cutting tactic, yet it leaves a bitter taste that will hurt PayPal's employer brand in India. For hiring leaders, this is a signal to double down on upskilling and to build a culture that can weather such shocks. The real story here is the accelerating shift from human-led processes to AI-led operations, which will continue to reshape India's tech workforce. Companies that fail to adapt will find themselves on the wrong side of this transformation.

Key fact

PayPal laid off approximately 600 employees in India, with a spokesperson citing 220 (4% of India workforce), as part of a global restructuring affecting 5,000 roles.

Why it matters

For CHROs and GCC leaders, PayPal's abrupt layoffs signal a troubling trend: even established global capability centres are not immune to cost-cutting driven by AI and automation. The manner of the layoffs—via a mass call with immediate access revocation—highlights a growing disregard for employee experience, which can damage employer brand and trust. This underscores the need for GCCs to proactively manage workforce transitions, invest in reskilling, and communicate transparently to retain talent and maintain morale. It also raises questions about the stability of GCC roles in India as global firms reassess their footprints.

The Teksands point of view

PayPal's layoffs are a stark reminder that no GCC is safe from AI-driven restructuring. The 'call and cut' approach is a brutal but effective cost-cutting tactic, yet it leaves a bitter taste that will hurt PayPal's employer brand in India. For hiring leaders, this is a signal to double down on upskilling and to build a culture that can weather such shocks. The real story here is the accelerating shift from human-led processes to AI-led operations, which will continue to reshape India's tech workforce. Companies that fail to adapt will find themselves on the wrong side of this transformation.

Read the original source at The South First →

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