According to Bloomberg, Samsung is about to cut 10% of their workers (about 10,000 employees) at its head office in Korea, as their smartphone business stumbles due to strong competition from the iPhone and Chinese vendors.
Samsung is targeting workers in the human resources, public relations and finance departments, Korea Economic Daily reported Tuesday, citing people it didn’t identify. The Suwon, South Korea-based company also plans to cut some expenses next year, the report added. Samsung declined to comment in an e-mail.
Apparently, the 5-months declines in Galaxy smartphone sales and drop of $40 billion in Samsung’s market value are the main cause of this headcount cut.
The company’s share of smartphone shipments fell 3% in the second quarter of 2015 and it’s no longer the top vendor in China.
Samsung had 98,999 employees at its headquarters as of June 30th.