Why Samsung is cutting US jobs ahead of headquarters move

Samsung Electronics has reportedly cut jobs at its US display and other consumer digital operations, predominantly affecting employees, mainly in New Jersey and Texas.

On Sunday, the South Korean tech giant confirmed in a statement that 739 roles in Englewood Cliffs, New Jersey have been affected by Samsung Electronics America overhaul strategy.

A majority of impacted parties have been given transfer proposals, but others were let go without further elaboration. 

The cuts are closely related to the major shift in headquarters-an issue drawing strong attention within the South Korean tech giant where the chip division is highlighting a rapid upward trajectory, but consumer electronics units are losing momentum.

Samsung’s pivotal decision to shift SEA’s headquarters is striking because SEA employees in New Jersey moved to their new offices with spectacular public celebrations less than a year ago.

According to a press release by US Representative Josh Gottheimer, SEA employs about 1,200 workers in New Jersey, many of whom attended an event to inaugurate the new offices in September.

Samsung said in a statement: “The shift of SEA’s headquarters may lead to changes in our workforce structure, such as employees who are unable to relocate, or certain functions that are optimized to ensure our roles align to key business priorities.”

Samsung’s job cuts echo moves by other international firms including Microsoft, Amazon and Meta which have eliminated positions while redirecting toward AI infrastructure.

According to a current SEA employee, Samsung workers are anxious about the recent job cuts and a consolidation of the company’s appliance, home entertainment and mobile division as it prioritizes chips.

Samsung clarified in its statement that there was no global transformation within its consumer product business. It is pertinent to mention here that Samsung Electronics had 11,770 employees in the United States at the end of 2025, which include industry workers within its chip division.