Social Media Reacts: Unacademy CEO Criticized for Luxury Wardrobe During Salary Cut Announcement
The Incident
Gaurav Munjal, CEO of Unacademy, recently made headlines for the wrong reason. During a video announcement, he revealed that the company would not be providing salary hikes for the second consecutive year. While such news is typically met with disappointment, it was Munjal’s choice of clothing that caught the public’s attention. He wore a Burberry Black Parker T-shirt, priced at approximately Rs. 30,000, while delivering the news.
This choice of wardrobe was not a minor detail. The T-shirt, which costs around 319 euros, became a focal point of criticism. Social media users quickly noted the luxury of Munjal’s attire, contrasting it sharply with the company’s decision to freeze salaries. “This is Burberry Black Parker T-shirt with embroidered logo. Yeah agreed that one shouldn’t go after their personal stuff. But it is what it is,” a Reddit user commented. This response captures the sentiment of many who viewed the situation as out of touch with the company’s financial struggles.
Previous Controversies
The criticism of Munjal’s luxury wardrobe is not an isolated incident. The Unacademy CEO has faced scrutiny before for his lavish lifestyle. During the pandemic, Munjal stayed at the Oberoi in Bangalore for six months, claiming it boosted his productivity. He even had some team members work from the same 5-star hotel, highlighting his preference for luxury during challenging times. Additionally, Unacademy reportedly used two luxury BMW cars to pick up a startup team they were interested in acquiring. Munjal also met with them at a luxury villa, surrounded by personal security.
Further fueling the debate, Munjal’s use of private jets, which are significantly more expensive than first-class tickets, has been a point of contention. He justified these costs by claiming that the time saved on private jets was worth more than the expenditure. For instance, if he spent $50,000 on a jet, he argued it was a cost-saving measure because it preserved time potentially worth $100,000.
The Current Situation
Unacademy’s financial performance has been troubling. The company reported a loss of Rs. 1,678 crore in FY23. Despite this, employees have not seen any salary increases for two consecutive years. Munjal had earlier expressed optimism about the company’s growth and profitability. On July 4th, he posted on X (formerly Twitter) that Unacademy was set for its best year yet. The announcement of no salary hikes, coupled with his expensive T-shirt, seemed to contradict this positive outlook.
The reaction on social media has been swift and severe. The contrast between Munjal’s high-end fashion and the company’s financial struggles has not gone unnoticed. The viral video of Munjal’s announcement from Unacademy’s virtual town hall only amplified the criticism. The post’s caption noted the irony: “This is Burberry Black Parker T-shirt with embroidered logo. Yeah agreed that one shouldn’t go after their personal stuff. But it is what it is.”
Why It Matters
The backlash underscores the growing expectation for CEOs to align their personal lifestyles with the financial realities of their companies. In a time of economic uncertainty and corporate cutbacks, visible symbols of wealth can appear insensitive or out of touch. Munjal’s choice of clothing during such an announcement highlights how personal decisions can impact public perception, especially when there is a stark contrast between a leader’s lifestyle and their company’s financial state.
Conclusion
Although, Munjal has mentioned the importance of saving time in his previous interviews and talks as well and he might be doing things to save his time. Also, there are people who wear normal T-shirts or the T-shirts of same colour like Mark Zuckerberg. It might be his personal choice but unfortunately, this has sparked the emotions in people.
Social Media Reacts: Unacademy CEO Criticized for Luxury Wardrobe During Salary Cut Announcement is more than just a story about a T-shirt; it is a reflection of the broader expectations placed on corporate leaders today. In an era where every detail is scrutinized, CEOs must navigate their public personas carefully. Munjal’s experience serves as a reminder of the importance of aligning personal and professional signals, especially in times of corporate distress.
References
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Financial Express. (2024). Unacademy CEO Gaurav Munjal criticized for wearing costly T-shirt during salary freeze announcement.
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Reddit. (2024). Unacademy CEO Gaurav Munjal’s expensive T-shirt sparks outrage.
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Business Insider India. (2024). Unacademy’s financial woes and Gaurav Munjal’s extravagant
