Intel will lay off more than 300 employees in California by the new year
Intel will cut 311 jobs at plants in Santa Clara and Folsom, California. The company reported this to the US Department of Employment Development.
Most of the layoffs will be at Intel’s offices in Folsom, where the chip maker has a test shop and lab facilities. There, 235 workers will be cut without the possibility of renewal.
Intel also said it plans to lay off another 76 employees at its headquarters in Santa Clara. All 311 workers will lose their jobs on December 31.
In total, the company employs about 110,000 people worldwide.
“Intel is working to accelerate its strategy and reduce costs through a number of initiatives, including reducing the workforce in certain divisions of the company,” an Intel representative said in a comment to The Register. The company has more than 13,000 employees in California and continues to invest in key areas of the business, including manufacturing facilities in the United States, he said.
The past year has been financially difficult for the IT giant, which opened the first quarter with a loss of $2.8 billion. Although the business returned to profitability in the second quarter, Intel has already successfully implemented its plan to reduce annual costs by $3 billion in in 2023. to $10 billion by 2025. The company dismissed 1,714 workers. in its offices in Santa Clara, San Jose and Folsom in 2023. Intel also closed a number of projects and abandoned several product lines in an effort to cut costs.