Chip-maker Intel confirms to cut further workforce to reduce costs

San Francisco, May 9 (SocialNews.XYZ) Chip manufacturer Intel has confirmed that it plans to further cut its workforce 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.

In a statement to USA Today, Intel said that it is working to accelerate its strategy while navigating a challenging macro-economic 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 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 had said in a statement.

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 at least hundreds of employees in the Bay Area and nearby places in the US.

Source: IANS