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Samsung India layoffs
While nearly 100 employees have been asked to leave, and Samsung India is expected to cut a significantly bigger number as per ET. As of now, only Samsung’s TV and home appliance businesses have been impacted, but it will cut as many as 25% of its India workforce across sales, marketing, and electronics businesses.
The added number may include Samsung’s direct employees and off-roll employees working through manpower. Samsung’s domestic electronics sales team has around 550–600 executives, excluding its much larger smartphone sales organisation. Therefore, around 138–150 people may be asked to leave in the coming weeks.
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ET highlighted that Samsung has been handing out the termination letters for the past few days, but in small batches. Some employees were reportedly asked to leave immediately without serving their notice period.
Why is Samsung laying off employees?
The South Korean giant is said to be under financial and business pressure, which is resulting in restructuring and workforce reduction.
Since it uses memory components across its electronics products, higher chip prices have become a major issue in maintaining costs. In addition, the Indian rupee has weakened by nearly 10% through FY26, making imported components and products more expensive, adding to Samsung’s costs.
India’s smartphone shipments have also been impacted, and the market is estimated to have fallen 11–12% year-on-year, meaning consumers are buying fewer phones. Since smartphones are its biggest business in India, the slowdown may have a major impact on its Indian revenue.
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Samsung is also facing challenges in air conditioners, and with raw material costs rising, Samsung’s consumer electronics businesses such as TVs, refrigerators, washing machines, and ACs are facing additional cost and profitability pressures.
Samsung severance package
Reportedly, Samsung is offering 3 months’ salary as a base severance payment, and an additional one month’s salary for every completed year they have worked at Samsung. Therefore, if an employee has worked at Samsung for 5 years, the reported package would be for 8 months.
We have reached out to Samsung for confirmation of its restructuring plans, and we will update the copy once we get an update on the matter.