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Samsung struggles to house workers

Released at: 19:47, 07/11/2014

Samsung struggles to house workers

South Korea's leading electronics manufacturer recruits an average of 1,000 new employees each week for its factories in Thai Nguyen and Bac Ninh, raising substantial issues regarding housing.

by Minh Tien

Around 66,000 people now work at Samsung in its factories in Thai Nguyen (SEVT) and Bac Ninh province (SEV) and by mid-2015 the figure is expected to exceed 100,000. The company is in the process of building two dormitories at its SEVT plant, which will provide accommodation for approximately 16,000 employees once completed. But this falls well short of what is needed for the 29,000 employees at SEVT and a further 21,000 are to be recruited over the next six months, bringing the total to nearly 50,000 by mid-2015.

Executives at Samsung Vietnam are not so concerned about this but are concerned about the housing needs of workers at their satellite companies. Samsung satellite companies at SEV now total 400, while SEVT is also attracting large numbers. These satellite companies will require a workforce in the tens of thousands, making the situation even more critical.

At a recent meeting with the Minister of Information and Communications Nguyen Bac Son, Mr. Shin Won Hwan, General Director of Samsung Vietnam, asked the Ministry to petition the People’s Committee of Thai Nguyen province as well as related authorities regarding resolutions for the housing needs of its workers.

According to figures from Samsung Vietnam, the total number of phones it makes in Vietnam account for more than 35 percent of its global mobile phone production. Samsung recorded export turnover of approximately $21.5 billion in the first ten months of this and the figure for the year as a whole year is expected to come in at between $28 billion and $30 billion.

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