Samsung Electronics plans global job cuts of up to 30% (Image: X @Samsung)

One of the world’s top electronic makers Samsung Electronics is planning to cut down its workforce to 30%  in some divisions as reported by Reuters listing sources. It was said that the brand has instructed its subsidiaries worldwide to dwindle sales and marketing staff strength furloughing 15% of employees from the department. As per the report,  Samsung will dismiss about 30% of its workers in the administrative sector as well.

This workforce cut is said to be implemented by the end of 2024 which may reduce the staff across the US, Asia, Africa and Europe as a part of a global headcount reduction in the company. It is still vague how many people would be affected by these layoffs since the reason and details of this massive cut remained confidential and uncertain.

As per the reports, the job cuts are planned to be prepared to confront the global slowdown in demand for technology products as the global economy seems lethargic. However, a source said that the company is seeking to shore up its bottom line as it plans to save costs effectively.

Samsung’s stock price is at its lowest point in over a year to date and some experts have lowered their predictions for the company’s profits because they think fewer people will buy smartphones and computers in the coming decade causing Samsung’s stock price to drop.

Also, read| Mass Layoff In Dell: Big Tech Continues Workforce Cut In 2024

In August, the tech giant Apple laid off 100 jobs in its Apple Books app and Apple Bookstore, reducing the service division’s workforce. This includes furloughing engineers and other service teams such as the employees in Apple News.

These global layoffs by tech companies raise concerns and escalate tensions among employees, as other tech companies have furloughed their workers from various departments. Earlier this year, Dell announced that they had dismissed an unspecified number of employees marked as its second largest layoff in a year. This sudden change was initiated cutting marketing divisions and sales rooting toward artificial intelligence. The same week, Intel initiated a mass layoff which may affect at least 15,000 employees in the company.

Also, read| Apple Lays Off 100 Workers From Its Online Service Group: Report

It is not sure if Samsung will also reduce the workforce in its headquarters in South Korea because it is indeed discussed as a politically sensitive issue since the company plays a pivotal role in the country’s economy.  If the company plans to cut down its employees in South Korea it may stir the workers since the trade union at Samsung Electronics is already on strike demanding a hike in wages and employee benefits.