₹2.17 Crore Income, ₹30 Lakh Tax and No Real “Rewards” from the System: X Users Split over Bangalore IT Employee’s Termination
While some X users lamented the absence of a social safety net for the middle class despite their significant tax contributions, others vehemently pushed back against the narrative
The ongoing debate around India’s taxation system and social safety nets took center stage on social media after a post by Venkatesh Alla (@venkat_fin9) went viral on X. Alla, a vocal critic of India’s tax regime, shared the plight of an anonymous IT professional, identified only as Mr. Salim, who despite earning a ₹43.5 lakh annual package and contributing over ₹30 lakh in taxes across five years, found himself jobless and struggling without institutional support.
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According to the post, Mr. Salim, who is a topper from one of India’s National Institutes of Technology, was laid off last month from his position at a Bangalore-based firm, receiving just three months' severance. Alla highlighted that in the previous year alone, Salim had paid ₹11.22 lakh in income tax and is now left using his savings and severance package to cover ₹1.95 lakh per year in school fees for each of his children.
Over the course of five years, Mr. Salim was said to have earned around ₹2.17 crore and paid more than ₹30 lakh in taxes, yet found himself without meaningful support when crisis struck.
The post struck a chord with many, especially as it revealed that Salim had fallen into depression following the lay-off, with a feeling of being abandoned by the very system he had loyally contributed to through his taxes.
The thread ignited widespread discussion, attracting both support and criticism. While some X users echoed Alla’s concerns, lamenting the absence of a social safety net for the middle class despite their significant tax contributions, others pushed back against the narrative.
Dr. Vijayant Govinda Gupta (@drvggupta) argued that the infrastructure that enabled Salim’s high earnings was itself funded by taxes, pointing out that a ₹43.5 lakh salary was made possible by the stability and ecosystem created through government expenditure. He suggested that individuals earning such packages should budget prudently and live within their means, rather than attributing their hardships to systemic failure.
Similarly, other users emphasized personal responsibility of individuals, with comments questioning how government intervention in private employment matters could be justified when the termination was effectuated by a private entity. A few users such as Political_Satire (@basaham) highlighted the taxation of severance pay as a glaring injustice and others questioned whether the taxes paid by such individuals realistically translated into tangible benefits like quality education or healthcare for Indian citizens.
The debate has brought to light, once again the urgent need for India to re-examine its approach to job security, especially in the private sector and more so within the IT industry, where layoffs have become increasingly common.
While the government provides schemes like provident fund and gratuity, the opposing argument is that these schemes fall short of creating a meaningful safety net for skilled professionals facing unexpected job loss.
While no side can be stated to be a hundred percent correct in their claims, the incident has once again reignited calls for regulatory reforms that protect employees against sudden terminations and ensure more comprehensive support structures to match the realities of the employment sector.
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