Intel expands layoffs to over 5,000 employees across U.S. in latest round of job cuts

Intel Corp. is laying off more than 5,000 employees across four U.S. states, according to updated Worker Adjustment and Retraining Notification (WARN) filings reviewed by Manufacturing Dive.

The wide-reaching job cuts are part of the semiconductor giant's ongoing restructuring efforts aimed at cost reduction and business simplification under the leadership of CEO Lip-Bu Tan.

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The most significant workforce reductions are taking place in California and Oregon. According to revised California WARN filings, Intel has more than doubled its layoff estimates in Santa Clara and Folsom to 1,935 employees. The layoffs began in Folsom on July 11 and in Santa Clara on July 15.

In Oregon, Intel has sharply increased the number of planned separations at or near its Hillsboro campuses - the center of its R&D operations - from 529 to 2,932 employees. The company has also amended filings in Arizona, with 696 employees now facing layoffs in Chandler. In Texas, 110 employees in Austin are also affected, the report added.

The chipmaker initially reported plans to lay off approximately 1,666 employees across the four states.

A spokesperson for Intel declined to specify which business units or departments are most impacted, the report said. However, in late June, the company announced it would begin winding down its automotive division, which was operating under its Chief Computing Group.

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The cuts are not limited to the U.S. Intel has also started notifying hundreds of employees in Israel of upcoming job losses, according to local news outlet Ynet. The company employs around 4,000 people at its Kiryat Gat campus.

Intel’s restructuring comes as the company seeks to reposition itself amid a rapidly shifting technology landscape defined by artificial intelligence and advanced computing models. Since taking over as CEO in March, Lip-Bu Tan has emphasized the need to streamline Intel’s operations and double down on its core chipmaking capabilities.

Also Read: Intel to cut over 500 jobs in Oregon as layoffs expand nationwide