The world -renowned chip maker Intel is going to announce more than 20 percent of their total employees this week, US broadcast Bloomberg said. As a result, more than 20,000 workers can lose jobs, which is one of the biggest trunks in the history of Intel. The decision is being made to reduce the cost of the company and reduce administrative complications, the report said.
According to sources reluctant to be named, Bloomberg said the move was being taken under the 'revival plan' led by Intel's CEO Lip-Boo Tan. Lip-Boo Tan took over as the new CEO of Intel last month. Immediately after taking charge, he said he would bring back the product -based culture and emphasized the cutting of additional administrative levels. It is known that the program will be conducted to simplify the company's workplace, exclude additional management levels, and to give more importance to the main projects.
Earlier in August 2021, about 5,000 workers were trimmed in Intel. At that time, staff of administrative, marketing, sales and auxiliary departments lost their jobs. Production and engineering departments are relatively protected from pruning. Because Intel is confident of their Foundry business and emphasized the development of competitive products.
However, it is not yet clear whether the department or the staff of any type of position will be trimmed this time. Until December 25, 2021, Intel workers were 1 lakh 5 thousand 5. Of these, the US Semiconductor Company Altera also had thousands of employees, who are now working in an independent company owned by Intel and Silver Lake. As a result, the target of the trim has exceeded the number of medium -level management posts in Intel.
This time it is not certain whether the engineering department and their project staff will be covered. Significantly, Lip-Boo Tan was formerly a member of the board of directors of Intel, and the then CEO of Pat Goldsinger resigned due to disagreement with the plan to trim. Because then he was reported to be in favor of trimming in a larger range. This time he may be implementing the plan.
However, no information is known whether the employees will voluntarily be given the opportunity to retire, or to be trimmed directly.
Intel is set to release their quarterly income next Thursday. The company is not making any big comments before the income is published.
References: Toms hardware
