For two years, Intel has reduced 23,000 employees and does not stop there

The term “processor giant” to use Intel is becoming increasingly difficult, since the company not only loses its position in the central processors market, but also rapidly reduces the number of staff. Calcalist managed to calculate that from the end of 2022, Intel has reduced 23,000 employees, of which 16,000 lost their jobs last year.

Image Source: Intel

Typically, with all this by the end of 2024, Intel still had the number of staff exceeding 100,000 people, but very insignificantly – 108,900 employees, to be more precise. In fact, the corporation returned to the number of state as of 2018, but at the same time its annual revenue decreased by $ 18 billion. If in 2020 the specific revenue per employee of Intel exceeded $ 700,000, then in 2023 the amount dropped below $ 440,000. The staff reduction in the short term also requires an increase in costs. For example, last year on the rest of the way, Intel spent $ 900 million.

It is noteworthy that even in such conditions, Intel tries to stimulate the remaining staff to more productive work. In Israel, for example, where Intel is the largest foreign employer, corporation employees received a bonus of 80 % of monthly income. In the best years, this value reached 2.5 monthly income, but it is still better than nothing.

Last year, the company’s revenue decreased from $ 54.2 to $ 53.1 billion. Moreover, in early December, Intel lost the general director and is now busy searching for a new one. According to the BITS & Chips resource, the former GlobalfoundRies General Director of Globalfoundries, Thomas Caulfield, can act as one of the candidates, who gave way to the successor and at the same time headed by the board of the specified American contract producer of chips. At least, this candidate has experience by the management of a company that specializes in the contract issue of chips, and Intel will no longer be able to turn off the trajectory of isolation of his specialized unit. In an extreme case, Collfield could lead the gaining independence of Intel Foundry.

If you return to the reductions in Intel, the company continues to dismiss the staff of its unit in the California Folsome. In November, it was decided to sell local real estate, and by the end of March another 58 local employees would be dismissed. In total, about 1000 people in this unit have lost their work since January 2023. Nominally, it will continue to function on the squares already rented from the new owner.