Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.
Intel Announces Job Reductions
Posted on 6-Sep-2006 09:40 | Tags Filed under: News



Intel has announced plans for restructuring following an analysis of the company's structure and efficiency. As a result of the restructuring, the company expects to generate savings in costs and operating expenses of approximately US$2 billion in 2007. In 2008 the company expects savings from this restructuring to grow to approximately US$3 billion annually.

The savings are a combination of non-workforce related steps and a significant reduction in Intel's workforce. The company's employee population will decline to approximately 95,000 by the end of this year, resulting from workforce reductions, attrition and previously announced actions. The workforce will decline to approximately 92,000 by the middle of 2007, which is 10,500 fewer than the company's employee population at the end of the second quarter of 2006. In addition to the savings from the workforce reduction, the company expects savings in merchandising expenses, capital and materials.

Most job reductions this year will occur in management, marketing and information technology functions, reductions related to the previously announced sale of businesses, and attrition. In 2007, the reductions will be more broadly based as Intel improves labor efficiency in manufacturing, improves equipment utilization, eliminates organizational redundancies, and improves product design methods and processes.

The company expects severance costs to total approximately US$200 million, offsetting some of the expected savings from the project's implementation.

Intel is currently in its quiet period, so an update to its business outlook will not be made at this time. Further information concerning savings and costs related to the restructuring project will be provided in quarterly earnings releases and related business outlook estimates. The earnings release for the third quarter of this year is scheduled for publication 17 October.






comments powered by Disqus


Trending now »

Hot discussions in our forums right now:

Tipping? Please no!
Created by BlueShift, last reply by mattwnz on 23-May-2017 15:18 (64 replies)
Pages... 3 4 5


Father banned from watching daughter's netball game: what you think of this?
Created by Rikkitic, last reply by MikeAqua on 23-May-2017 14:44 (125 replies)
Pages... 7 8 9


Tailgaters?
Created by Linuxluver, last reply by Oblivian on 23-May-2017 15:18 (86 replies)
Pages... 4 5 6


The President Of The USA: Donald Trump
Created by TimA, last reply by kingdragonfly on 23-May-2017 07:44 (4357 replies)
Pages... 289 290 291


Automate "Dumb" Heatpump
Created by Paul1977, last reply by solutionz on 23-May-2017 10:03 (38 replies)
Pages... 2 3


ANZ Bank Anti Money Laundering
Created by kiwiharry, last reply by mdf on 23-May-2017 14:58 (18 replies)
Pages... 2


Can I record a Sky programme using my Panasonic hard disk recorder?
Created by PSLog, last reply by JimmyH on 21-May-2017 13:42 (34 replies)
Pages... 2 3


Chorus Exchange Locations
Created by stubbed, last reply by DarthKermit on 22-May-2017 12:27 (44 replies)
Pages... 2 3