The level of job losses at Samsung was three times higher than the combined figure of the nation’s top 30 conglomerates’ employment cuts. (image: Yonhap)
SEOUL, April 18 (Korea Bizwire) – Samsung Group slashed more than 10,000 jobs last year, the biggest cuts among South Korea’s top 30 conglomerates, according to data from CEO Score, a market research firm.
While many of the job losses resulted from the sale of Samsung’s petrochemical and defense businesses, the nation’s largest company is facing growing criticism that it is paying little attention to the most urgent challenge for the nation’s big businesses: expanding the number of ‘quality jobs.’
The reality is that South Korea’s top 30 conglomerates are seen as being responsible for providing ‘decent’ jobs in a society where youth unemployment is at record high levels.
The level of job losses at Samsung was three times higher than the combined figure of the nation’s top 30 conglomerates’ employment cuts.
Samsung Group’s employed a total of 222,821 individuals last year, compared to 236,457 people in 2014, down 5.8 percent with 13,636 jobs lost during the period.
Samsung’s downsizing is notable in light of similar yet less drastic measures at other financially-stricken companies. Hyundai Heavy Industries, for example, had to go through a significant level of job cuts as part of its restructuring, but ‘only’ 1539 workers lost their jobs.
Kumho Asiana, which also went through restructuring, eliminated 2,524 jobs, one fifth of Samsung’s cuts.
In the meantime, seven conglomerates added more than a thousand new hires last year, including Hyundai Motor, LG, Hanwha, GS, Shinsegae, Hyundai Department Store and newly-ranked top-30 company Harim, a poultry processing firm. Five groups including Samsung, POSCO, Hyundai Heavy Industries, Doosan and Kumho Asiana went ahead with significant job cuts last year.
By Lina Jang (linajang@koreabizwire.com)
