Intel Set to Lay Off Up to 20% of Its Factory Workforce Up to 11,000 factory workers

[beerakaya]

Intel Set to Lay Off Up to 20% of Its Factory Workforce

Up to 11,000 factory workers could lose their jobs as Intel tries to address its financial troubles.

By Jibin Joseph

June 17, 2025

 

(Credit: David Paul Morris/Bloomberg via Getty Images)

Intel laid off 15,000 workers last year and is preparing for another round of cuts next month, OregonLive reports, citing an internal memo.

Intel Foundry head Naga Chandrasekaran informed employees about the job cuts on Saturday. Approximately 15-20% of the company's factory workers are expected to be laid off in an effort to address its deteriorating financials. "These are difficult actions, but essential to meet our affordability challenges and the current financial position of the company. It drives pain to every individual," Chandrasekaran reportedly wrote in the memo. 

Intel posted flat year-on-year results in its April earnings call amid stiff competition from Nvidia and AMD. New CEO Lip-Bu Tan took charge earlier that month, and rumors about a major restructuring surfaced around the same time. 

Although the earlier report suggested 20% job cuts across all of Intel, the new one hints at 15-20% of the factory workforce. The chipmaker had 108,900 employees at the end of 2024. As Tom's Hardware notes, if around half of them work in factories, around 8,000 to 11,000 could lose their jobs next month.

This year's job cuts may not provide employees with the buyouts that accompanied last year's, OregonLive adds. When we reached out to Intel for comment, a company spokesperson confirmed a layoff was in the works but didn't provide any specifics.

 

[iTeachSAP]

Chip manufacturing antha automate chesesaaru... manual workforce avasaram ledhu.. All those manual labor is being kicked out. In a way, this is positive for Intel.