Samsung headquarters in Seoul’s Seocho district (Image courtesy of Yonhap)
SEOUL, Sept. 27 (Korea Bizwire) – For the first time in its history, Samsung Electronics, the South Korean tech giant, has more employees aged 40 and above than those in their 20s, according to a recent analysis. This demographic shift underscores a rapidly aging workforce at one of the world’s leading technology companies.
The Korea CXO Institute, examining Samsung’s sustainability reports from 2010 to 2023, found that last year, employees aged 40 and older numbered 81,461, surpassing the 72,525 employees in their 20s.
This marks a significant change from 2010 when the company’s workforce skewed younger. At that time, of over 190,000 employees, 55.7% were under 30, and 32.5% were in their 30s, meaning nearly 9 out of 10 Samsung employees were under 40.
The shift has been dramatic. In 2015, when Samsung’s global workforce peaked at about 325,000, employees in their 20s comprised nearly 60% of the total. By 2023, this had plummeted to 27.1%.
Conversely, the number of employees aged 40 and above has grown steadily, from just over 20,000 in 2010 to 81,461 in 2023, now accounting for 30.4% of the workforce.
This aging trend has impacted the company’s hierarchical structure. In 2017, 80% of employees were in non-managerial positions. By 2023, 35% held managerial or executive roles.
The demographic shift has financial implications. Samsung’s global payroll has nearly tripled from 13.5 trillion won in 2010 to 38 trillion won in 2023.
With first-half 2024 payroll already at 20.3 trillion won, analysts project the year-end figure could exceed 40 trillion won.
“If this trend of increasing middle-aged and managerial staff continues, we can expect a further decline in organizational dynamism and an increased payroll burden within the next five to seven years,” said Oh Il-sun, director of the Korea CXO Institute.
“Samsung urgently needs to develop comprehensive strategies for workforce management.”
The company’s global workforce, which peaked at about 325,000 in 2015, has since declined, standing at around 260,000 last year.
M. H. Lee (mhlee@koreabizwire.com)
