Samsung India cuts 80-100 jobs, more layoffs expected after Diwali
Samsung India Electronics has initiated layoffs, affecting 80-100 executives in its television and home appliance businesses, with more cuts anticipated after Diwali. This move comes as the company faces pressure on smartphone sales and margins due to increased memory chip prices and a depreciating rupee.
Why it matters
These layoffs signal significant economic challenges for a major global electronics company in a key market like India, reflecting broader industry pressures from supply chain costs and currency fluctuations, potentially impacting consumer prices and employment.
Samsung India Electronics has started laying off its workforce in phases as its core smartphone business faces pressure on sales and margins following a more than twofold increase in memory chip prices. Around 80-100 executives in the television and home appliance businesses have so far been asked to leave, according to reports.Those affected include director-level officials and team leads at the company's headquarters, as well as branch and area managers working across its operating branches, according to the executives.“Up to 25% of its sales and marketing workforce in the electronics business — including offroll employees hired through manpower agencies — could be affected,” one executive told ET on the condition of anonymity.Termination letters issuedThe domestic electronics sales organisation has around 550-600 executives, in addition to the much larger sales workforce handling smartphones.
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