samsung logoAccording to a report from yesterday, it was suggested that Samsung will be laying off thousands of its employees at its headquarters. Given that both its flagship smartphones the Galaxy S6 and S6 Edge haven’t exactly been selling well, the reports of staff layoffs did not exactly come as a surprise.

However it turns out that it might have only been a rumor after all. This is according to a follow-up report from Yonhap News where a Samsung exec rubbishes the Bloomberg report. According to the exec who was not named, there will not be any staff layoffs. Instead Samsung will be relocating its workers, although he/she did not provide any details about the alleged workforce relocation.

That being said while the layoffs aren’t true, Samsung employees aren’t out of the woods just yet. The report goes on to claim that Samsung Electronics has decided to freeze the salaries of its employees for the rest of the year, making it the first time since 2009 that the South Korean tech giant has done so.

In the meantime Samsung Electronics has reported a 37.5% in operating income which is pretty huge. This has seen their operating income drop to 2.76 trillion won in the second quarter, which apparently has Chinese companies such as Xiaomi to blame for creating extremely affordable handsets, along with Apple whom Samsung has a had a fierce rivalry with over the years.

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