LG Electronics plans to reduce its global workforce by about 10% by mid-2027 as the South Korean technology company seeks to lower costs and streamline operations, Bloomberg News reported on Wednesday.
The proposed reductions are expected to affect around 8,000 employees, with cuts reportedly focused on corporate and support functions rather than production workers. The move comes as LG faces pressure to improve profitability amid weak demand in some consumer electronics markets and intensifying competition.
LG has already been implementing voluntary retirement programmes and broader workforce optimisation measures. The company has said such restructuring is intended to reduce fixed costs and create a more flexible cost structure over the medium to long term.
The company has also been shifting its business strategy toward higher-growth areas, including vehicle solutions, heating and cooling systems, software and subscription-based services.
LG’s television business has faced particular pressure, with display-related demand recovering more slowly than expected and competition increasing. The company has previously acknowledged higher marketing costs and restructuring expenses linked to workforce optimisation.
The planned workforce reduction would represent a significant restructuring for one of South Korea’s largest electronics manufacturers as global technology companies continue to reassess costs, staffing and investment priorities.
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