South Korean giant Samsung to invest ₹1,000 crore in Tamil Nadu plant

TRB Rajaa, minister for industries, investment promotion and commerce said that the electronics giant would be adding 100 more jobs at this facility

South Korean electronics major Samsung Electronics will invest ₹1,000 crore in its facility in Tamil Nadu’s Sriperumbudur, according to state Industries Minister TRB Rajaa.

 

According to a Reuters report, the announcement comes just months after Samsung’s plant faced employee protests following a wave of suspensions. A sit-in protest was staged in February, marking the second major labour dispute at the facility within six months.

 

In September 2024, hundreds of workers at Samsung’s Sriperumbudur unit staged a five-week protest, demanding higher wages and recognition of their union. Following the strike, the electronics manufacturer agreed to address several of the workers’ demands.

 

 

TRB Rajaa, Minister for Industries, Investment Promotion and Commerce, took to X to share the investment news, saying: “The company’s additional investment reinforces their faith in the labour force of Tamil Nadu.” He also said Samsung would create 100 additional jobs at the facility. However, the minister did not give details about the time frame of the investment.

 

It is worth noting that Samsung's Sriperumbudur facility makes refrigerators, washing machines, and televisions, and in 2022-2023, it accounted for a fifth of Samsung India's $12 billion sales.

 

Protests at Samsung’s Sriperumbudur unit 

The Sriperumbudur facility has seen repeated flashpoints between workers and management, with employees accusing the company of union-busting tactics. Samsung has denied the allegations, stating that it is “compliant with all applicable laws”. The company currently employs more than 2,000 workers.

 

In February, the standoff escalated when factory workers threatened to go on a one-day hunger strike across manufacturing units in the Kanchipuram district. This came after employees demanded reinstatement of three of the employees, who were suspended by the management.

 

According to a PTI report, Samsung India in February filed official complaints with the relevant authorities against workers who violated the company's policy on unlawful actions. As many as 500 workers out of the 1,750 employees were protesting against the management and were part of the strike.