Oct 02, 2024 09:23 AM IST
Samsung is laying off around 10% of its workforce in Southeast Asia, Australia, and New Zealand as part of a global reduction affecting thousands.
Samsung is laying off workers in Southeast Asia, Australia and New Zealand as the company is reducing global headcount by thousands of jobs, Bloomberg reported citing people in the know. The layoffs could affect about 10% of the workforces in those markets and the numbers for each subsidiary may vary, the report added. Job cuts are planned for other overseas subsidiaries and could reach 10% in certain markets, it claimed.
Samsung has about 147,000 staff overseas, more than half of its total employees of more than 267,800. But the South Korean company is not planning layoffs in its home market, the report said.
Samsung holding private meetings with laid off staff
Samsung staff across different teams in Singapore were called into private meetings with HR managers and their reporting managers, and were informed of the lay offs and severance package details, it added.
“Some overseas subsidiaries are conducting routine workforce adjustments to improve operational efficiency. The company has not set a target number for any particular positions,” a Samsung spokesperson said.
Why Samsung has had a difficult year
This comes as Samsung shares have slid more than 20% this year as the world’s largest maker of memory chips and smartphones struggles.
Samsung has reduced the size of its workforce in the past as well as the company recently trimmed about 10% of jobs in India and some parts of Latin America, it was reported. In the latest push, Samsung is likely to cut less than 10% of its total overseas staff of 147,000 as the company aims to preserve manufacturing jobs while it cuts management and support functions.
Samsung vs employees in South Korea and India
Samsung has been feuding with employees in South Korea as the largest of the tech giant’s several unions called the company’s first strike ever in May. In India as well, more than 1,000 workers have disrupted production and protested in a makeshift tent close to the Chennai factory since September 9, demanding higher wages and union recognition.