Intel’s downsizing is moving up a gear. After the voluntary retirement stage has been completed, which allowed Intel employees to leave and receive a bonus of up to 19 salaries, the US chip giant has now moved on to the next stage. Last Tuesday, according to reports in the US, Intel began dismissing more than 2,255 employees in Oregon, Arizona, Texas and California. In Israel, the dismissals are set to begin after the holidays and will likely include several hundred employees out of the 11,000 employees in Haifa, Petah Tikva, Jerusalem and Kiryat Gat.
According to the CRN website, most of the layoffs in the US, about 1,300 employees, are being dismissed at the development and production site in Oregon, with 385 layoffs in Chandler, Arizona, 319 in San Jose, California, and 251 in Austin, Texas. The dismissals were implemented with 30 days of notice due to the country’s labor laws that require advance notice when mass layoffs are involved.
Intel announced in August that it would lay off 15% of employees – an estimated 15,000-17,000. Most of the cuts will be in the form of voluntary retirement and non-replacement of employees who have left, with the balance from layoffs. According to reports in the US, as of the beginning of October 7,500 people had already signed up for voluntary retirement plans, which would mean layoffs of at least 7,500 employees between mid-October to mid-November.
Published by Globes, Israel business news – en.globes.co.il – on October 20, 2024.
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