Samsung Electronics, the world’s leading manufacturer of smartphones, televisions, and memory chips, is preparing to significantly reduce its overseas workforce. The company is aiming to cut up to 30% of its employees in certain divisions as part of a broader strategy to streamline operations and address economic challenges.

The South Korean tech giant has reportedly instructed its international subsidiaries to significantly downsize their sales, marketing, and administrative teams by the end of the year. This drastic measure is aimed at streamlining operations and addressing the mounting economic challenges the company faces.

The layoffs are expected to impact employees across multiple regions, including the Americas, Europe, Asia, and Africa. While the final details of the job cuts are still being finalised, it is anticipated that the reductions will be particularly severe in sales and marketing departments, according to media reports.

In a statement earlier, Samsung confirmed that it is making some workforce adjustments to improve efficiency but emphasized that its production staff would not be affected.

Samsung employs a global workforce of 267,800, with over 147,000 employees based overseas. In its 2024 sustainability report, the company announced its commitment to more than doubling the number of women executives by 2030 compared to 2022 levels.

The company has already begun implementing layoffs in several markets. Its Indian operations have offered severance packages to mid-level employees, while reports suggest that Samsung’s Southeast Asia, Australia, and New Zealand offices could see up to 10% of their workforces reduced.

As the company continues to navigate this cost-cutting initiative, further reductions are expected in other regions.

The tech industry is grappling with major disruptions driven by economic uncertainty and the rapid rise of AI. Companies are restructuring and cutting jobs to focus on artificial intelligence, with major players like Dell, GM, and Intel announcing significant layoffs.

In 2024, Layoffs.fyi reports that over 139,206 tech employees have lost their jobs across 451 companies globally.