Samsung Electronics has started restructuring its US consumer electronics business as it is shifting its American headquarters from New Jersey to Texas. This move has reportedly affected hundreds of employees with many being offered relocation packages while others have lost their jobs. As per the reports, Samsung is looking to consolidate operations and strengthen collaboration across its tech and AI teams.
According to a Reuters report, Samsung confirmed that 739 positions at Samsung Electronics America (SEA) in Englewood Cliffs, New Jersey, have been impacted by the headquarters move. The company said most affected employees received relocation offers, while some roles were eliminated.
The report also claims that around 100 employees at Samsung’s Plano, Texas, office have been laid off, including workers from its mobile division. Samsung has not disclosed the total number of job cuts across its US business.
The report further added that relocating the teams to Texas will improve collaboration and better align resources with its long term business priorities. However, it clarified that the changes do not represent a company-wide restructuring of its consumer electronics division.
The workforce changes come as Samsung’s semiconductor business continues to benefit from strong AI-related demand, while its consumer electronics segment faces increasing competition in smartphones, televisions and home appliances, along with higher operating costs.
In a separate news, Meta is also facing a lawsuit filed by former employees who claim AI systems were used to help determine layoffs during the company’s latest workforce reduction. The complaint alleged that performance ratings generated with AI may have unfair unfairly disadvantaged employees who were on maternity leave, medical leave or disability accommodations due to lower workplace activity during those periods.
Meta has denied the allegations, stating that employment decisions were made by managers rather than artificial intelligence.