Intel details downsizing program – Globes
In order to avoid mass layoffs, the semiconductor giant is offering unpaid leave and voluntary retirement options.
Semiconductor giant Intel has not yet begun the round of layoffs that it plans to carry out over the next few years, but perhaps in order to avoid unilateral and extreme measures, it hopes to allow as many employees as possible who wish to do so to take a short period of unpaid leave, lasting a few weeks, or to take voluntary retirement in return for severance pay and pensions.
Sources inform “Globes” that the company’s 14,000 employees in Israel, like their colleagues around the world, have been offered three options: a voluntary retirement package; unpaid leave for a few weeks; or a longer period of leave on reduced pay. Production workers have not been offered the unpaid leave option because of the need to maintain continuous production in the coming period.
In October, Intel announced a fairly vague program of expenditure cuts. The company said that it would trim $3 billion from its 2023 budget, rising to $8-10 billion in 2025, meaning that Intel aims to save over $20 billion over three years.
Published by Globes, Israel business news – en.globes.co.il – on December 15, 2022.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.
Intel Petah Tikva credit: Intel