'Employees In Their 40s Main Target During Layoffs': Bombay Shaving Company CEO Explains Reason

Bombay Shaving Company CEO Shantanu Deshpande recently shared a worrying trend in corporate layoffs. According to Deshpande, employees in their 40s are the most vulnerable group during mass layoff events. 

The revelation comes as companies across industries are engaged in restructuring their teams. With global economic uncertainty and the rise of artificial intelligence, firms are targeting streamlined operations and cost reduction through multiple layoffs.

In such events, employees in their 40s are the most vulnerable group, Despande said. In a post on Instagram, he shared a video talking about this emerging layoff trend. "My friend Kaushik (Banerjee of Sugar Cosmetics) has brought up a very important topic, which very few people are talking about, which is people losing their jobs in their 40s."

He added that the phenomenon is not limited to any specific geography. "When a mass layoff event is going to happen, the people in their 40s are the most vulnerable because they're the highest paid," the CEO explained.

He further said that such events can turn into an "emotional and financial disaster" for the affected employees.

Being in your 40s is an age when one can be vulnerable due to a significant amount of responsibilities, including children and older parents. "Your children are likely to be in college, so you need a lot more. Your parents are possibly in their 70s, or 80s. There is a lot of medical and financial attention that your parents might need."

He added that the situation can be exacerbated by additional responsibilities such as higher EMIs for home loans, etc. Deshpande further said that these responsibilities can put a dent in one's savings. According to him, this phase can also be an emotional challenge because this is the period when one expects to be promoted to upper management, anticipating their "golden salary period."

"So if you lose your job in the 40s, it is a massive destabiliser financially and emotionally for you and your family," he added.