Shantanu Deshpande, founder and CEO of Bombay Shaving Company, recently drew attention to the growing vulnerability of professionals in their 40s amid the wave of layoffs sweeping through India’s corporate sector. In a candid LinkedIn post, Deshpande called the trend a “global phenomenon,” emphasizing that this age group is disproportionately affected due to their seniority and higher salaries.
“They have children entering college, financial responsibilities toward parents, EMIs to pay — and often, not enough savings. It’s deeply concerning,” he wrote. Highlighting how mid-career professionals are frequently among the highest earners in their companies, Deshpande noted that they are also the first to be let go during times of economic uncertainty or organizational restructuring.
He also spoke about the emotional and financial strain faced by this demographic. “The stress is real, and the pressure intense,” he wrote, offering a few suggestions for professionals looking to safeguard their careers: “Start upskilling in AI, save aggressively, and cultivate an entrepreneurial mindset.”
This growing concern has come to be known among recruiters as the “40-40 problem” — a situation where professionals over 40 or those earning above Rs 40 lakh per annum struggle to find new roles. Often seen as overqualified for junior positions, too expensive for mid-level roles, and lacking modern tech skills like AI, automation, or cloud computing, they find themselves caught in a difficult transition phase.
One LinkedIn user, responding to Deshpande’s post, wrote, “The most vulnerable are between 40 to 45 — they’re usually the first to face the axe,” particularly when switching from established firms to startups for better pay.
A recent 2025 World Health Organization survey highlighted the emotional toll of such layoffs, revealing that 40% of affected professionals suffer from severe stress. The impact is particularly pronounced among middle-aged men, who often carry the primary financial burden in Indian households.
As the job market continues to evolve, these layoffs are sparking larger conversations around age discrimination, financial resilience, and the urgent need for more inclusive support structures in the workplace.