Samsung Electronics plans to invest ₹1,000 crore in its facility in Sriperumbudur, Tamil Nadu, according to TRB Rajaa, the state Industries Minister.
Reports state that the announcement was made just months after a wave of suspensions at Samsung's plant sparked employee protests. In February, the facility saw its second significant labor dispute in six months, a sit-in protest.
Hundreds of workers at Samsung's Sriperumbudur plant staged a five-week protest in September 2024, calling for union recognition and increased pay. The electronics manufacturer complied with some of the demands made by the workers after the strike.
"The company's additional investment reinforces their faith in the labor force of Tamil Nadu," said TRB Rajaa, Minister for Industries, Investment Promotion, and Commerce, in an interview with X. Additionally, he said Samsung would add 100 jobs to the facility. The minister, however, gave no details regarding the duration of the investment.
One-fifth of Samsung India's $12 billion in sales in 2022–2023 will come from the company's Sriperumbudur plant, which produces televisions, washing machines, and refrigerators.
Protests at Samsung's Sriperumbudur facility
Employees at the Sriperumbudur facility have repeatedly clashed with management, accusing the company of union-busting tactics. Samsung has denied the allegations, claiming that it is "compliant with all applicable laws". The company currently has over 2,000 employees.
The standoff escalated in February when factory workers threatened to go on a one-day hunger strike across Kanchipuram's manufacturing units. This came after employees demanded the reinstatement of three employees who had been suspended by management.
According to a PTI report, Samsung India filed official complaints with the appropriate authorities in February against employees who violated the company's policy on unlawful behavior. As many as 500 of the 1,750 employees were protesting against management and participating in the strike.
