Samsung to Inject $117M Into Indian Plant Despite Recent Labor Unrest
Samsung Electronics has announced a significant investment of ₹10 billion (approximately $117 million) into its manufacturing facility located near Chennai, in southern India. This strategic move underscores the tech giant’s commitment to expanding its footprint in the region despite facing recent labor tensions.
Tamil Nadu’s Minister for Industries, Investment Promotion, and Commerce, T. R. B. Rajaa, confirmed the investment on social media, highlighting that it reflects Samsung’s confidence in the local workforce. The expansion is expected to create at least 100 new job opportunities at the plant.
The announcement comes just months after the facility was embroiled in protests following the suspension of several employees. In February, workers organized a sit-in demonstration, marking the second major dispute in under six months. The unrest followed a five-week strike in September 2024, where employees demanded better wages and formal recognition of their union. Although Samsung eventually addressed their concerns, tensions between the company and the labor union remain unresolved. Union leaders have accused the company of attempting to stifle union activities—allegations that Samsung denies, asserting full compliance with labor laws.
Currently employing over 2,000 people, the Chennai plant manufactures appliances such as televisions, refrigerators, and washing machines. The factory is a key component of Samsung’s Indian operations, having contributed nearly 20% of the company’s $12 billion revenue from India in the 2022–23 fiscal year.
While Samsung has not officially commented on the timeline for this new investment, the move signals its long-term ambitions in one of the world’s fastest-growing consumer electronics markets.