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[News] Samsung Reportedly Laid Off 100+ Execs, Raising Concerns of Talent Recruitment by China


2024-12-02 Semiconductors editor

According to a report from Liberty Times, citing The Chosun Daily, Samsung Electronics has announced a significant personnel adjustment following its November 27 presidential-level appointments, reportedly cutting around 100 senior executives from its semiconductor (DS) division—an unprecedented reduction of senior leadership in the company’s history, as the report notes.

The report highlights growing concern that these departing executives might join Chinese semiconductor companies, increasing the risk of technology leaks. Chinese semiconductor firms are reportedly offering salaries three to four times higher as part of aggressive recruitment efforts targeting employees from Samsung Electronics and SK Hynix, as the report indicates.

Additionally, the report points out that many of the executives being laid off are in their 50s and 60s. This has raised particular concerns about intellectual property leaks, as they are likely to seek new employment opportunities.

The report, citing sources, also reveals that Chinese semiconductor companies have historically contacted South Korean tech talent discreetly through intermediaries but are now openly offering salaries three to four times higher to attract employees. Sources indicate that these Chinese companies are conducting large-scale recruitment, often hiring through foreign entities to disguise their Chinese affiliations.

To address this issue, efforts to retain experienced professionals in South Korea are ongoing, as the report highlights. Ahn Ki-hyun, Executive Director of the Korea Semiconductor Industry Association, outlined initiatives such as creating roles for patent examiners and strengthening collaborations between academia and industry. However, despite these measures, Ahn acknowledged that completely preventing engineers from seeking opportunities abroad—especially in China—remains a significant challenge.

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(Photo credit: Samsung)

Please note that this article cites information from Liberty Times and The Chosun Daily.

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