Samsung layoffs: Over 800 US workers affected by Texas headquarters move
Layoffs at Samsung: Samsung Electronics has cut jobs at its U.S. consumer electronics business, including its display and smartphone operations, with the majority of affected employees located in New Jersey and Texas. Reuters reported with reference to company documents and sources.
In a statement Reuters On Sunday, the South Korean tech company announced 739 positions Samsung Electronics America (SEA) in Englewood Cliffs, New Jersey, was affected as part of the company’s plan to move its US consumer electronics headquarters to Texas. SEA inspects Samsung’s It covers consumer electronics operations in the United States and does not include the semiconductor business. Samsung said many affected employees were offered relocation packages, while others were laid off.
Separately, about 100 employees at SEA’s Plano, Texas, office were laid off, including employees from the company’s mobile division, according to a person familiar with the matter. Reuters.
Samsung headquarters relocation leads to layoffs in the US
Although workforce changes are linked to the headquarters move, they also highlight the contrasting performance of Samsung’s business segments. While its semiconductor division continues to benefit from growing demand driven by artificial intelligence, its consumer electronics operations face increasing pressure from rising chip costs and weak profitability.
The move comes less than a year after Samsung celebrated the opening of its new Englewood Cliffs offices. Samsung Electronics America employed approximately 1,200 workers in New Jersey, according to a press release from U.S. Rep. Josh Gottheimer, who attended the launch event last September.
Layoffs at Samsung extend beyond New Jersey
The full extent of the layoffs remains unclear. Reuters reported that some employees received notices on June 30 informing them of a “companywide reduction in force” and that the company acknowledged there would be “significant impacts.”
Activity at LinkedIn also points to widespread departures, with more than 30 employees, including senior sales and marketing executives in Texas, New Jersey and several other parts of the U.S., announcing either layoffs or leaving the company in the past two weeks.
Samsung said the headquarters relocation “may lead to changes in our workforce structure, such as employees being unable to relocate or certain functions being optimized to ensure our roles align with key business priorities.”
The surge in AI chips contrasts with the slowdown in consumer electronics
Samsung recently forecast a 19-fold increase in second-quarter operating profit, driven by strong demand for AI-related memory chips. It also announced plans last month to invest hundreds of billions of dollars to expand semiconductor manufacturing capacity.
But Samsung’s mobile business is expected to post its first operating loss as it struggles with stiff competition from Apple in smartphones. In television and home appliances, Chinese brands such as TCL and Hisense have intensified competitive pressure. At the same time, rising semiconductor costs linked to the AI boom have squeezed margins across Samsung’s consumer electronics portfolio.
Samsung Layoffs Part of a broader Big Tech shift
The latest layoffs reflect a broader trend in the tech industry, with companies such as Microsoft, Amazon and Meta reducing their workforces and shifting investment into AI infrastructure and data centres.
Samsung has followed companies like Tesla and Oracle in expanding its operations in Texas, known for its business-friendly policies and low taxes. Texas currently hosts Samsung’s semiconductor manufacturing facilities and mobile operations center in Plano.
Samsung emphasized that the workforce changes were tied to the headquarters relocation and that there was no company-wide restructuring of its global consumer products business.
By the end of 2025 Samsung Electronics employed 11,770 people throughout the United States, including personnel working in semiconductor operations.
Samsung SDS America may lay off more people
Meanwhile, Samsung’s IT services subsidiary Samsung SDS America separately notified state officials that it may eliminate 179 positions at its Ridgefield Park, New Jersey, office, according to a June filing required under New Jersey labor laws.
