Samsung India Layoffs: Nearly 100 Executives Asked To Leave Amid Cost Pressure

Samsung India has begun cutting jobs in batches as rising memory chip prices, weaker sales and pressure on margins weigh on its consumer electronics business, according to a report by The Economic Times (ET). Around 80-100 executives in the television and home appliance businesses have been asked to leave, according to industry executives cited by ET.

The layoffs cover multiple levels, including director-level officials and team leads at the headquarters, as well as branch and area managers. An affected employee told the news publication that termination letters had been issued in small batches over the past few days.

Samsung is offering three months’ salary along with an additional month’s pay for every year of service as severance, according to the report. The smartphone business has been kept out of the current round of cuts for now.

Up To 25% Of Electronics Sales Staff At Risk

The current layoffs are focused on Samsung’s television and home appliance businesses. However, the impact could widen, with one industry executive telling ET that up to 25% of the company’s sales and marketing workforce in its electronics business could be affected.

This includes off-roll employees hired through manpower agencies. Samsung’s domestic electronics sales team has around 550-600 executives, separate from its much larger smartphone sales organisation.

The company is also consolidating its branch network to reduce costs. Several offices, including those in Ranchi and Patna, Delhi and Gurgaon, and Punjab and Chandigarh, are being combined, which has resulted in some positions becoming redundant, according to industry executives.

Why Samsung India Is Under Pressure

Memory chip prices have more than doubled, putting pressure on sales and margins. The rupee’s nearly 10% decline through FY26 has also made smartphones and other electronic products more expensive, while industry estimates cited by ET show smartphone volumes in India declining 11-12% year-on-year (YoY).

Mobile phones account for around three-fourths of Samsung India’s revenue. The company has also struggled to expand in the high-value air-conditioner segment, while higher raw material costs have added pressure on its consumer electronics business.

Samsung has also raised prices of some smartphone models by 5-10% this month. The All India Mobile Retailers’ Association has said consumer footfall has fallen sharply amid repeated price increases.

The company’s smartphone business is being protected for now as Samsung expects sales to improve during the Diwali season. However, one executive told the publication that another round of workforce rationalisation could take place after Diwali, particularly in the TV and home appliance businesses.

Samsung India’s FY25 revenue stood at ₹1.1 lakh crore, up 12% YoY, while net profit rose 38% to ₹11,287 crore. The latest job cuts therefore come as the company seeks to reduce costs in specific businesses despite strong overall FY25 financial performance.