LONDON Intel Corp. is expected to announce the results of a major self-appraisal on June 15 and this is set to include the lay off or redeployment of 16,000 employees, according to TG Daily, an online publication. TG Daily referenced Omid Rahmat, author of a website called Second Hand Smoke, as a source.
According to its website Intel employs 99,900 people so lay-off of 16,000 would be approximately 16 percent or nearly every sixth person.
Second Hand Smoke suggested that in addition to axing employees' jobs Intel could drop a number of marketing initiatives including Viiv, an attempt to get personal computers to be used as entertainment centers.
Paul Otellini, chief executive of Intel (Santa Clara, Calif.), told analysts in April that he was planning an overhaul that would impact "every part" of the company. “In terms of non-performing businesses, anything with a bracket will be looked at,” he said, referring to the company’s loss-ridden units.
Intel followed up by closing a design office in Glasgow, Scotland, laying off 17 workers there who were involved in developing voice and network processors as well as Ethernet technology. The facility was acquired by Intel through the acquisition seven years ago of Level One (see May 9 story).
Intel to lay off 16,000 employees: sources
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