Chennai, April 25, 2025 — South Korean electronics giant Samsung Electronics is set to invest a massive ₹1,000 crore in its manufacturing facility located in Sriperumbudur, Tamil Nadu. This move comes just a few months after the plant witnessed significant worker unrest. Tamil Nadu’s Minister for Industries and Commerce, T.R.B. Raja, announced the investment, highlighting the confidence the company has in the state’s workforce. According to a report by Reuters, this investment is expected to not only bolster the facility’s capabilities but also create an additional 100 jobs for the local workforce.
Worker Protests and Strikes at Sriperumbudur Plant
This announcement follows a tumultuous period at Samsung’s Sriperumbudur facility, where worker protests have been ongoing. In February 2025, a sit-in protest took place at the plant, marking the second largest worker dispute in the last six months. The previous year, in September 2024, hundreds of workers went on strike for five weeks, demanding salary increases and union recognition. The strike was resolved after the company agreed to meet several of the workers’ demands.
Despite these tensions, Minister T.R.B. Raja praised Samsung’s investment, emphasizing that it reflects the company’s trust in Tamil Nadu’s skilled labor force. He also mentioned that the additional investment will lead to the creation of 100 more jobs at the plant, further contributing to the local economy.
Union Issues and Management Conflicts
The Sriperumbudur plant has been a hotspot for labor disputes, with workers accusing the company of adopting anti-union strategies. Samsung, on its part, has denied these allegations, stating that it adheres to all applicable labor laws. In February 2025, tensions escalated when workers threatened to go on a one-day hunger strike at the manufacturing unit in Kanchipuram district. The standoff was a reminder of the ongoing issues surrounding labor relations at the plant.
Impact of the Investment on the Local Workforce
The ₹1,000 crore investment will serve as a major boost to the plant’s operations, allowing it to ramp up production and potentially introduce new technologies. Samsung’s decision to expand its operations in Tamil Nadu indicates that the company remains committed to its Indian manufacturing base, despite the past disputes.
The creation of additional jobs is expected to alleviate some of the local economic pressures, especially in the region around Sriperumbudur. This investment not only strengthens Samsung’s position in the global electronics market but also reflects the growing importance of India’s manufacturing sector in Samsung’s global supply chain.
