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Intel Corp. is laying off more than 5,000 employees across four states in the latest round of job cuts from the chipmaker.
First reported by Manufacturing Dive, the number comes from updated Worker Adjustment and Retraining Notification filings, with most of the job cuts occurring in California and Oregon. Just shy of 2,000 jobs are specifically being cut at Intel facilities in Folsom and Santa Clara and are said to have started in the second week of July.
In addition to the Folsom and Santa Clara layoffs in California, Intel has also issued updated notices revealing significant job cuts in Oregon. Revised filings indicate 2,392 positions at the Hillsboro and Aloha campuses will be affected, part of one of the largest tech layoffs in the state’s history. The reductions in Oregon started about July 11 and include a mix of engineering, technical and administrative roles.
The downsizing extends beyond the West Coast. In Arizona, Intel has increased its planned Chandler layoffs from roughly 170 to close to 700 employees, local media outlet KJZZ reported.
Farther east, Intel employees in Texas have also not been spared. Some 110 roles at the company’s Austin campus were eliminated under the global workforce reduction initiative, with the layoffs having also started in mid-July.
Affected employees will receive nine weeks of severance plus benefits and four- to eight‑week notice periods.
The layoffs are part of a plan announced by Intel Chief Executive Officer Lip‑Bu Tan in April to eliminate more than 20% of Intel’s global workforce, targeting about $500 million in operating expense cuts this year and an additional $1 billion next year. At the time, Tan said that the idea was to “streamline management and rebuild an engineering-driven culture.”
Intel’s latest round of layoffs follows in the steps of other large firms that have been shedding jobs this year, most recently Microsoft Corp. which announced that it was cutting 9,000 employees, or around 4% of its workforce, in July.
Other companies that have reduced their headcounts this year include CrowdStrike Holdings Inc., which slashed 500 employees in May and Google LLC, which laid off hundreds of employees from its Platforms & Devices group in April.
The layoffs come amid growing concern that artificial intelligence could potentially replace millions of workers in the coming years. In May, Dario Amodei, chief executive officer of Anthropic PBC, warned that AI could eliminate half of all entry-level white-collar jobs within five years, driving the U.S. unemployment rate to between 10% and 20%.
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