Are guest workers at risk? Hundreds of jobs could go at Samsung’s battery plant in Hungary
Hungary’s battery manufacturing sector may have stabilised after a sharp downturn, but large-scale job cuts are continuing — and foreign guest workers appear to be the most vulnerable. According to Hungarian media reports, Samsung’s battery plant in Göd could dismiss up to 800 workers by the end of the year, most of them employed through staffing agencies.
Production running far below capacity
The Samsung SDI plant in Göd is currently operating at just 30–40 per cent of its full capacity, according to industry sources cited by Telex and 444.hu. As a result, the company has been steadily reducing its workforce for more than a year.
By the end of 2024, Samsung and fellow South Korean battery maker SK together employed more than 8,000 people in Hungary. Since then, their combined workforce has shrunk by around 2,300 employees. While the sharpest drop in production appears to be over, layoffs have not slowed.
800 external workers could be let go
Multiple sources told Hungarian media that Samsung plans to cut up to 800 jobs at the Göd plant by the end of this year. Crucially, these workers are not directly employed by Samsung but hired through labour agencies, meaning they will not appear in the company’s official employment statistics.
Several recently dismissed workers have contacted journalists, with one claiming they were fired for using inappropriate language during a meeting: an example critics say reflects increasingly strict internal discipline during the downsizing.
Guest workers preferred: Shift away from Hungarian workers?
According to multiple independent sources, Samsung has also been actively reducing the proportion of Hungarian workers at its facilities. In lower-level positions,
the company reportedly prefers Ukrainian and Filipino guest workers, who are seen by management as more compliant and less likely to raise concerns.
One Samsung employee told Telex that in a recent work group of around 80 people, only two were Hungarian. The company’s approach follows earlier labour-related controversies at the Göd plant, which reportedly made management more cautious about outspoken local staff.
A sector still under pressure
Hungary’s battery industry expanded rapidly until the end of 2023, when global overcapacity, growing Chinese competition, and a technological shift caused orders to dry up. According to data from the Hungarian Central Statistical Office (KSH), monthly production value in the sector fell from HUF 250–300 billion to below HUF 200 billion in 2024.
The lowest point came in December 2024, when a shutdown at Samsung’s Göd plant dragged national battery production down to around HUF 100 billion per month. Since then, output has recovered to the HUF 150–170 billion range, with October approaching HUF 180 billion, but still well below previous levels.
SK plants also cutting staff
Despite stabilising production, SK has also continued internal layoffs. Earlier this year, the company temporarily shut its large Iváncsa plant for six weeks, officially citing maintenance needs. Workers, however, said the decision was driven by a lack of orders and the cost-effectiveness of a full shutdown.
Although SK claims production has since restarted at higher capacity and with the same number of Hungarian employees, workers say dismissals continue over minor disciplinary issues. Internal documents seen by Telex suggest dozens of employees were fired for lateness, falsified attendance records, or even sleeping or watching films during shifts.
State support and mounting questions
Samsung’s ongoing layoffs have raised eyebrows because the company recently received HUF 133 billion in state subsidies for a massive HUF 1,000 billion expansion project in Göd, due to be completed next year. According to Telex, an earlier commitment to create 1,870 new jobs was eventually removed from the subsidy agreement.
New factories on the horizon
Despite current difficulties, Hungary’s battery industry may soon see renewed growth. CATL’s new factory in Debrecen is now complete and could begin mass production within months. The company says its capacity is already fully booked, suggesting a smoother start than its competitors experienced.
Further Chinese investments are also planned: Eve Power aims to begin production in Debrecen by 2027, while Sunwoda is building a plant in Nyíregyháza, although its project is significantly behind schedule.
For now, however, uncertainty remains, particularly for guest workers and agency-employed staff, who appear to be bearing the brunt of Hungary’s battery industry slowdown.