Samsung Electronics has acknowledged a massive personnel restructuring across its US consumer electronics divisions, leaving hundreds of New Jersey employees with either a cross-country relocation or a termination letter. Samsung Electronics has slashed positions at its US display, phone, and consumer electronics units, mostly in New Jersey and Texas. According to a statement to Reuters, 739 jobs in Englewood Cliffs, New Jersey, will be affected by Samsung Electronics America’s (SEA) intentions to relocate its headquarters to Texas. SEA focuses on consumer electronics and does not manufacture chips. The majority of those affected have gotten relocation offers, but others have been let go.
According to one person who worked at SEA’s Plano, Texas office, about 100 employees, including those in its mobile branch, were laid off. The overall affected headcount across both states reaches 840 individuals, representing a significant reduction in the company’s US consumer electronics workforce.
“Samsung Electronics has cut jobs at its US display, phone and other consumer electronics operations affecting workers mainly in New Jersey and Texas. 739 roles in Englewood Cliffs, NJ affected by HQ relocation to Texas. Majority received relocation offers, others were let go.”~Reuters
Why Texas And What Samsung Says About The Move?
Samsung has joined Tesla, Oracle and other tech companies in moving headquarters or major operations to Texas, known for lower taxes and business-friendly regulations. The state is already home to Samsung’s chip factories and a mobile hub in Plano. By consolidating its consumer electronics operations in Texas alongside its existing chip and mobile infrastructure, Samsung is building a more unified US footprint in one business-friendly location.
The relocation of the unit’s headquarters is intended to foster “stronger collaboration and optimize the organization by bringing more teams together within a growing technology and AI ecosystem,” Samsung said. The company was at pains to separate this move from any broader restructuring narrative, stating clearly that there was currently no broad, global restructuring underway within its consumer product business.
Samsung Electronics had 11,770 employees in the United States as of the end of 2025, which includes workers in its chip division. The 739 New Jersey roles and 100 Texas departures together represent approximately 7% of that total US workforce.
“Samsung reportedly cuts some US jobs, offers relocations ahead of HQ move. 739 roles in Englewood Cliffs, NJ affected by plans to move Samsung Electronics America headquarters to Texas. Company says no broad global restructuring underway in consumer products.”~CNBC
Chips Booming, Consumer Electronics Struggling:
The workforce changes come at a moment of sharply diverging performance across Samsung’s two major business lines. The cuts underscore diverging fortunes within the South Korean tech giant with its chip division skyrocketing to record profit but its consumer electronics units languishing as chip costs surge.
Higher chip costs due to the AI boom have weighed on earnings for all of its consumer electronics products. Samsung’s job cuts mirror moves by other global firms including Microsoft, Amazon and Meta, which have shed jobs while redirecting spending toward AI infrastructure. The same AI-driven memory chip surge that is propelling Samsung Semiconductor’s record profits is making it more expensive to build the televisions, smartphones, and appliances that Samsung’s consumer division sells.
Samsung workers are concerned the recent job cuts could be followed by additional layoffs and a consolidation of the company’s appliance, home entertainment and mobile divisions, as it focuses resources on chips. That anxiety is understandable when the parent company’s most profitable division is chips and the cost of chips is squeezing consumer electronics margins, prioritising semiconductor investment at the expense of consumer product headcount follows a clear commercial logic.
“Samsung Electronics cut 739 New Jersey jobs and around 100 Texas roles as Samsung Electronics America moves HQ from Englewood Cliffs to Texas. The consumer electronics division faces margin pressure from AI-driven chip cost inflation while Samsung’s semiconductor division posts record profits.”~Bloomberg
What Comes Next For Affected Employees And The US Consumer Business:
The WARN Act application for 739 positions in Englewood Cliffs places the effective dates of termination for individuals who choose not to relocate in mid-to late September 2026. This is because US corporations are required to offer 60 days’ notice before making significant staff cuts. Even with corporate relocation help, moving from the greater New York City metropolitan region to the Dallas-Fort Worth corridor is not a simple request for employees who accept the Texas relocation.
Samsung’s presence in New Jersey is well-established. For decades, Samsung’s US consumer electronics leadership has been based in the Englewood Cliffs facility, which was chosen in part due to its closeness to key US media, retail, and advertising partners in and around New York City. Moving that headquarters to Texas will impact how Samsung’s consumer division interacts with those partners, possibly affecting its competitive positioning in markets where New York relationships have historically been important.
