Samsung is laying off about 10 per cent of its workforce in Southeast Asia and Australia

Samsung Electronics has begun mass layoffs in Southeast Asia, Australia and New Zealand that will affect about 10 per cent of employees in those markets. The measures are part of a global headcount reduction plan that could affect up to 10 per cent of workers at some overseas subsidiaries. In total, the company plans to cut thousands of jobs to improve operational efficiency.

Here's What We Know

Samsung currently has about 147,000 employees overseas, which is more than half of the company's total workforce. The layoffs will not affect the domestic market in South Korea, which has 120,756 employees. In Singapore, employees have already been informed of the cuts and severance packages in private meetings with managers.

Samsung shares have fallen more than 20 per cent this year due to competition in the market for memory chips and smartphone chips. The company is lagging behind rivals such as SK Hynix in memory chips and Taiwan Semiconductor Manufacturing Co.(TSMC) in making custom smartphone chips for external customers.

The company aims to retain manufacturing jobs while cutting management and support functions.

Source: Bloomberg