Samsung 'will not cut staff in Vietnam' after the Note 7 incident.

Samsung in Vietnam currently has technology complexes located in Bac Ninh province (SEV), Thai Nguyen province (SEVT), and Ho Chi Minh City (Samsung CE Complex), with a total investment of nearly 10 billion USD.

Samsung 'will not cut staff in Vietnam' following the Note 7 incident.

A few days ago, the Japanese newspaper Nikkei published an article about the current situation at the Samsung factory in Bac Ninh and the "consequences following the Galaxy Note 7 incident," while also raising concerns about the possibility of Samsung Vietnam laying off staff.

According to Nikkei, just over a month has passed since Samsung halted all production of the Galaxy Note 7, yet a number of workers at the Samsung factory in Bac Ninh have been left unemployed after being told by the company to stay home instead of coming to the factory. Some workers were luckier, but their income has been halved due to the lack of overtime pay.

One female worker said her income had dropped by about 40-50%, and added that many other workers were able to go home earlier than usual, starting when Galaxy Note 7 production was halted in mid-October.

According to Nikkei, Samsung is still paying unemployment benefits to those currently unemployed; however, many people's incomes have decreased by 70% compared to before. In particular, Samsung's year-end recruitment of new workers in Vietnam appears to have also been halted.

In light of the above information, this newspaper has raised the possibility of Samsung Vietnam cutting staff.

However, on November 23, in a written response to VnEconomy, a Samsung representative affirmed that they would not cut staff in Vietnam following the Note 7 incident.

According to Samsung, when the company decided to halt production of the Galaxy Note 7 and reorganize its production lines in mid-October, some workers in Vietnam were given temporary rotational leave (one week).

"As of now, everything has returned to normal after we completed the reorganization of the production line," a Samsung representative said.

Samsung currently accounts for a significant share of Vietnam's exports of phones and components. However, according to statistics from the General Department of Customs, Vietnam's export turnover in this sector in October decreased compared to the previous month (reaching nearly $2.84 billion).

Could this be related to the Note 7 incident? In response, a Samsung representative affirmed that despite the incident, Samsung Vietnam's phone exports decreased only slightly in October 2016.

The company also cited information from the General Statistics Office, stating that Vietnam's exports would recover soon, thanks to the continued normal and stable export of other phone models.

"According to our estimates, although the Note 7 incident may have a short-term impact, total export volume this year will still increase compared to last year," Samsung Vietnam affirmed.

Samsung in Vietnam currently has technology complexes located in Bac Ninh province (SEV), Thai Nguyen province (SEVT), and Ho Chi Minh City (Samsung CE Complex), with a total investment of nearly 10 billion USD.

In 2015, Samsung's total export turnover in Vietnam reached $32 billion. Samsung Vietnam expects that in 2016, the total production of smartphones at its two complexes in Bac Ninh and Thai Nguyen will reach 200 million units.

According to Economy