Sorapp Mawskia says in Stark’s warning that the middle class in India is running out of money

Corporate profits in India may stumble and the middle class may be at the heart of the crisis.

In a blog, Saurabh Mukherjea warns of Marcellus Investment SAURABH of creating white collars, real wages, and artificial intelligence height embraces the middle -class engine that longs for the story of India’s growth.

Mukherjia notes that since Diwali 2023, the growth growth in Indian companies has slowly slowed down, driven by consumption. The reason: Indians are running out of the middle class of money. RBI data shows household savings, as GDP share in the 24th year fell to the lowest level in 50 years, where the last time levels were seen in 1977.

Slowness is visible everywhere. Consumption, which represents 60 % of GDP, has been cooled since the end of the “retaliatory spending” spree in 2021-23. SUVs, housing and travel increased once; Now the request is softening. The profits of companies followed the same path – as elegant companies reported one of the most slowdown in the fiscal year 25.

Jobs tell the dark story. For a decade before 2020, white collars have doubled every six years. Since FY20, this growth collapsed to only 3 % annually – which means that it will now take 24 years until jobs are doubled. This, programs, retail trade, spine of the middle layer employment, has stagnated.

Automation speeding up. Mukherjia sheds light on how Indian information technology giants are frankly employed. The CEO of TCS K. Krithivasan said in July 2025 that the company reduces 2 % of the workforce (about 12,000 jobs) taking into account AI. C. Vijayakumar from HCL Tech went further, saying that the goal is “weak revenue with half of the workforce.”

Pressing the income is just as worried. Marcelus analysis of NIFTY 50 companies explains that over the past eight years, intermediate employee salaries have failed to keep up with inflation. Unlike the pre -2016 era, when paying at least identical costs, white collar workers are today, real, real.

For the 40 million white collar owners in India-who support 200 million other jobs through their spending-this is a red alert. Mukherjea warns that unless the wages and the creation of job opportunities, India risks pressure from the lengthy medium -class that can approach its economic momentum.