NewsSamsung extends managerial workweek to six days amid financial strain

Samsung extends managerial workweek to six days amid financial strain

Samsung has increased its managerial staff's workweek to six days, diverging from current market trends that lean towards workweek reduction. This decision comes from the company's disappointing financial performance, prompting a strategic shift contrasting with the broader shift towards shorter workweeks in other large firms.

Samsung introduces a six-day work week for management staff.
Samsung introduces a six-day work week for management staff.
Images source: © Licensor | Samsung

5:34 PM EDT, April 23, 2024

Reports from South Korea indicate a gradual extension of working hours among Samsung's management team. Specifically, managers within Samsung C&T (Construction & Trading) and the heavy industry sector have transitioned to a six-day workweek. Similarly, managers at Samsung E&A, an engineering subsidiary specializing in cutting-edge technology, alongside Samsung Life Insurance, are experiencing extended work schedules.
Intriguingly, some company departments have seen managers voluntarily adopting a six-day workweek since the start of the year, showcasing a proactive approach to confronting the company's challenges.

The root of this significant shift lies in the conglomerate's lackluster financial performance. In 2023, Samsung Electronics witnessed a staggering 95% decline in profits compared to the previous year, marking a 15-year low. The semiconductor division has also faced formidable challenges.

Compounding these difficulties are broader economic pressures, including rising oil prices, which augment operational costs, and the depreciating South Korean won, which narrows profit margins.

Samsung's choice contrasts with the evolving labor market norms, where many corporations are exploring or implementing four-day workweeks. However, it appears Samsung may not be alone in this approach, as other South Korean conglomerates like SK Group, Hyundai, and Doosan are reportedly considering or observing the impacts of a six-day workweek, hinting at a possible trend within the region.

See also
© essanews.com
·About us
·Terms of service
·Contact us
·Privacy policy
·

Downloading, reproduction, storage, or any other use of content available on this website—regardless of its nature and form of expression (in particular, but not limited to verbal, verbal-musical, musical, audiovisual, audio, textual, graphic, and the data and information contained therein, databases and the data contained therein) and its form (e.g., literary, journalistic, scientific, cartographic, computer programs, visual arts, photographic)—requires prior and explicit consent from Wirtualna Polska Media Spółka Akcyjna, headquartered in Warsaw, the owner of this website, regardless of the method of exploration and the technique used (manual or automated, including the use of machine learning or artificial intelligence programs). The above restriction does not apply solely to facilitate their search by internet search engines and uses within contractual relations or permitted use as specified by applicable law.Detailed information regarding this notice can be found  here.