Intel Israel lays off dozens of employees as part of global cutbacks
Intel Israel lays off dozens of employees as part of global cutbacks
Following the decision to implement cutbacks announced two months ago, Intel told each of its global centers that they are required to reduce their expenses
Intel Israel has laid off dozens of employees over recent weeks. Several projects based out of Israel have been discontinued, with the layoffs including employees across several departments. The total number of layoffs is not large considering Intel employs over 14,000 people in Israel, making it the country’s largest private tech employer, but it may signal a start of a trend that will intensify in 2023.
Following the decision to implement cutbacks announced two months ago, Intel told each of its global centers that they are required to reduce their expenses, with layoffs being the last resort. Some of the departments reduced the use of external advisors while others offered certain employees retirement packages or unpaid leave.
“As a response to the market conditions and the macroeconomic changes, global Intel is acting to reduce expenses amounting to billions of dollars over the next three years, including by making the size of teams more efficient and limiting the recruitment of employees, which will result in a certain reduction of the workforce across the world, including in Israel.”
Intel's Chief Executive Officer Pat Gelsinger released a memo to company employees in October outlining plans to create an internal foundry model for external customers and the company's product lines.
In June it was revealed that Intel had frozen hiring in the division responsible for PC desktop and laptop chips as part of a series of cost-cutting measures.
Intel told Calcalist at the time that its growth plans in Israel, including the building of a new $10 billion manufacturing center in Kiryat Gat, setting up a campus that will house 6,000 engineers in Haifa, and setting up a new R&D center in Be’er Sheva, remain unchanged.
