San Francisco, May 9: Chip manufacturer Intel has confirmed that it plans to cut its workforce further to reduce costs while navigating a challenging macro-economic environment, as tech layoffs continue unabated. The company, however, did not reveal how many employees will be impacted in the upcoming layoffs. Cuemath Layoffs: Edtech Startup Lays Off Nearly 100 Employees, Founder Manan Khurma Named New CEO.
In a statement to USA Today, Intel said it is working to accelerate its strategy while navigating a challenging macroeconomic environment.
"We are focused on identifying cost reductions and efficiency gains through multiple initiatives, including some business and function-specific workforce reductions in areas across the company," an Intel spokesperson was quoted as saying.
According to reports, the semiconductor major may lay off up to 20 per cent of the employees at its client computing and data centre divisions.
"Very unfortunate news, but massive layoffs at Intel are coming! Intel's Data Centre and Client computing groups are receiving 10 per cent budget cuts, It's up to divisions to figure out how to cut, given fixed costs, means as much as 20 per cent layoffs in groups," tweeted Dylan Patel, chief analyst at market research firm SemiAnalysis.
Last October, Intel announced plans to cut its expenses by $3 billion this year. Intel laid off more than 500 employees in California in job cuts announced last fall, according to filings with state workforce agencies.
"These are difficult decisions, and we are committed to treating impacted employees with dignity and respect," the company said in a statement. Tech Layoffs 2023: US Companies Cut Over 21K Jobs Only in February.
Intel employs more than 22,000 at its Washington County campuses, according to Oregon Live. Reports surfaced in January that Intel was making deeper job cuts that will hit hundreds of employees in the Bay Area and nearby places in the US.
(The above story first appeared on LatestLY on May 09, 2023 11:03 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).