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JUST IN: Samsung To Lay Off Thousands Of Workers In Nigeria, Kenya, Others—-Samsung Electronics , the world’s top maker of smartphones, TVs and memory chips, is cutting up to 30% of its overseas staff at some divisions, three sources with direct knowledge of the matter told Reuters.

South Korea-based Samsung has instructed subsidiaries worldwide to reduce sales and marketing staff by about 15% and the administrative staff by up to 30%, two of the sources said.

The plan will be implemented by the end of this year and would impact jobs across the Americas, Europe, Asia and Africa, one person said. Six other people familiar with the matter also confirmed Samsung’s planned global headcount reduction.

It is not clear how many people would be let go and which countries and business units would be most affected.

The sources declined to be named because the scope and details of the job cuts remained confidential.

In a statement, Samsung said workforce adjustments conducted at some overseas operations were routine, and aimed at improving efficiency. It said there are no specific targets for the plans, adding that they are not impacting its production staff.

Samsung employed a total of 267,800 people as of the end of 2023, and more than half, or 147,000 employees, are based overseas, according to its latest sustainability report.

Manufacturing and development accounted for most of those jobs and sales and marketing staff was around 25,100, while 27,800 people worked in other areas, the report said.

The “global mandate” on job cuts was sent about three weeks ago, and Samsung’s India operation was already offering severance packages to some mid-level employees who have left in recent weeks, one of the direct sources said.

The total employees who may need to leave the India unit could reach 1,000, the person added. Samsung employs some 25,000 people in India.

In China, Samsung has notified its staff about the job cuts that are expected to affect about 30% of its employees at its sales operation, a South Korean newspaper reported this month.

BIG CHALLENGES

The job cuts come as Samsung grapples with mounting pressure on its key units.

Its bread-and-butter chip business has been slower than its rivals in recovering from a severe downturn in the industry that drove its profit to a 15-year low last year.

In May, Samsung replaced the head of its semiconductor division in a bid to overcome a “chip crisis” as it seeks to catch up with smaller rival SK Hynix in supplying high-end memory chips used in artificial intelligence chipsets.

In the premium smartphone market, Samsung is facing stiff competition from Apple and China’s Huawei (HWT.UL), while it has long lagged behind TSMC  in contract chip manufacturing. And in India, which earns Samsung around $12 billion in annual revenue, a strike over wages is disrupting production.

One of the sources familiar with the plans said the job cuts were being made in preparation for a slowdown in global demand for technology products as the global economy slows. Another source said Samsung is seeking to shore up its bottom line by saving costs.

It was not immediately clear if Samsung will also cut jobs in its headquarters South Korea.

One of the sources said Samsung would find it difficult to lay off workers in South Korea because it was a politically sensitive issue. Conglomerate Samsung Group (SAGR.UL), of which the electronics giant is the crown jewel, is the country’s biggest employer and plays a key role in its economy.

Job cuts could also stir labour unrest at home. A South Korean workers’ union at Samsung Electronics recently went on strike for several days, demanding higher wages and benefits.

Shares in Samsung Electronics, South Korea’s most valuable stock, are trading at their lowest level in 16 months on Wednesday, as some analysts cut their profit estimates for the company recently, citing a weak recovery in demand for smartphones and personal computers.

SOURCE: Reuters

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KIRS Targets N100bn IGR in 2025

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KIRS Targets N100bn IGR

KIRS Targets N100bn IGR in 2025—-The Kano State Revenue Service (KIRS), has set a target to increase the state’s Internally Generated Revenue (IGR) to over N100 billion in  2025.

The Executive Chairman of the Service, Dr Zaid Abubakar, made the announcement on Wednesday in Kano, during the agency’s annual performance review for 2024 and its strategic plan for 2025.

Abubakar disclosed that KIRS has developed both medium and long-term plans to enhance the state’s revenue generation.

“For the medium-term revenue collection plan, we aim to collect more than N100 billion in 2025, and in subsequent years, we expect to surpass N200 billion.

“The state government has set a target of N75 billion for 2025, but we are committed to exceeding it,” he explained.

He further noted that the service intended to utilise technology as part of its ongoing digitisation efforts to reduce leakages and improve transparency.

“We will continue to deploy emerging ICT solutions and data management systems to optimise revenue collection, track progress, and ensure efficient administration,” Abubakar stated.

The Executive Chairman explained that the meeting aimed to assess the agency’s activities and performance in the previous year and to strategise for the new fiscal year, aligning efforts to meet collective goals.

He also mentioned that the Kano State Government planned to review the state’s revenue generation laws to strengthen the revenue base.

“The governor has approved a review of these laws, and we expect to complete the process before the end of the first quarter of this year,” Abubakar confirmed.

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Cross Border Trade Will Enhance Economic Growth – Customs

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Cross Border Trade Will Enhance Economic Growth

Cross Border Trade Will Enhance Economic Growth – Customs—-An Assistant Comptroller of the Nigeria Customs Service (NCS), Clement Amaweh, has stressed the importance of promoting Cross Border Trade (CBT) to enhance Nigeria’s economic growth.

Amaweh, the officer-in-charge of Ohumbe Outstation, Yewa North, made the statement while delivering a lecture during the Festival of Art for Economic Development held on Tuesday in Idiroko, Ogun.

The News Agency of Nigeria (NAN) reports the programme is themed “Cross Border Trade: Why it Matters”.

Amaweh, a guest speaker at the event, explained that Nigerians needed to promote exports through CBT as a major source of foreign exchange (Forex) earnings.

He said this would help to control inflation and increase Foreign Direct Investment (FDI) as well as create employment for sustainable economic growth and development.

He observes that non-documentation of informal trade usually leads to revenue loss, and the absence of statistical data hinders forex earnings, distorting accurate trade records.

“The simplification and harmonisation of customs clearance procedure will encourage most cross-border traders to formalise trade activities through proper documentation and accurate declaration.

“Also, consistency in policy will significantly facilitate CBT and discourage smuggling,” he said.

Amaweh highlights the following as factors militating against CBT: difficulties in policies and porous borders, language and currency, among others.

Earlier, the Area Comptroller, Ogun 1 Area Command, Mr Mohammed Shuaibu, said in an increasingly interconnected world, CBT could be regarded as a bridge enhancing economic growth and promoting cultural exchange.

According to Shuaibu, partnership among nations enables businesses to reach broader markets, encourages innovation and enhances the availability of goods and services for consumers everywhere.

The programme organiser, Dr Bonny Abisogun, said the event was not only a celebration of art, but a reminder of the diverse cultural and economic landscapes for participants to navigate together.

Abisogun says CBT matters because it allows people to share their resources, ideas and innovations as well as strengthen their economies by creating jobs to enhance market access.

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