Samsung layoffs: Over 800 US workers affected by Texas headquarters move
Samsung layoffs: 739 positions at Samsung Electronics America in Englewood Cliffs, New Jersey, were impacted as part of the company's plan to relocate its U.S. consumer electronics headquarters to Texas
Samsung layoffs: Samsung Electronics has reduced jobs across its US consumer electronics business, including its display and smartphone operations, with the majority of affected employees located in New Jersey and Texas, Reuters reported, citing company documents and sources.
In a statement to Reuters on Sunday, the South Korean technology company said 739 positions at Samsung Electronics America (SEA) in Englewood Cliffs, New Jersey, were impacted as part of the company's plan to relocate its U.S. consumer electronics headquarters to Texas. SEA oversees Samsung's consumer electronics operations in the U.S. and does not include its semiconductor business. Samsung said many affected employees have been offered relocation packages, while others have been laid off.
Separately, around 100 employees at SEA's Plano, Texas, office — including workers from the company's mobile division — were also dismissed, according to a person familiar with the matter cited by Reuters.
Samsung headquarters relocation drives US job cuts
Although the workforce changes are linked to the headquarters relocation, they also highlight the contrasting performance of Samsung's business segments. While its semiconductor division continues to benefit from booming artificial intelligence-driven demand, its consumer electronics operations are facing mounting pressure from rising chip costs and weaker profitability.
The relocation comes less than a year after Samsung celebrated the opening of its new Englewood Cliffs offices. According to a press release from U.S. Representative Josh Gottheimer, who attended the inauguration event last September, Samsung Electronics America employed roughly 1,200 workers in New Jersey.
Samsung layoffs extend beyond New Jersey
The full scale of the layoffs remains unclear. Reuters reported that some employees received notices on June 30 informing them of an "enterprise-wide reduction-in-force," with the company acknowledging there would be a "significant number of impacts."
Activity on LinkedIn also indicates widespread departures, with more than 30 employees — including senior sales and marketing executives in Texas, New Jersey and several other U.S. locations — announcing over the past two weeks that they had either been laid off or had exited the company.
Samsung said the headquarters relocation "may lead to changes in our workforce structure, such as employees who are unable to relocate, or certain functions that are optimized to ensure our roles align to key business priorities."
AI chip boom contrasts with consumer electronics slowdown
Samsung recently projected a 19-fold surge in second-quarter operating profit, driven by robust demand for AI-related memory chips. It also unveiled plans last month to invest hundreds of billions of dollars in expanding its semiconductor manufacturing capacity.
However, Samsung's mobile business is expected to report its first-ever operating loss as it battles stiff competition from Apple in smartphones. In televisions and home appliances, Chinese brands such as TCL and Hisense have intensified competitive pressure. At the same time, higher 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 across the technology industry, with companies including Microsoft, Amazon and Meta trimming workforces while shifting investment toward AI infrastructure and data centers.
Samsung has also followed firms such as Tesla and Oracle in expanding operations in Texas, a state known for its business-friendly policies and lower taxes. Texas already hosts Samsung's semiconductor manufacturing facilities and its mobile operations hub in Plano.
Samsung emphasised that the workforce changes are tied to the headquarters relocation and that there is no company-wide restructuring underway within its global consumer products business.
As of the end of 2025, Samsung Electronics employed 11,770 people across the United States, including staff working in its semiconductor operations.
Samsung SDS America may cut more jobs
Meanwhile, Samsung's IT services subsidiary, Samsung SDS America, has separately notified state authorities that it may eliminate 179 positions at its Ridgefield Park, New Jersey, office, according to a June filing required under New Jersey labor laws.
Source: Livemint — Companies
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