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Intel Slashes 15,000 Jobs as CEO Warns of More Challenges Ahead

CEO

Business Honor
05 August, 2024

The CEO described this decision as one of the toughest of his career, and he reassured staff that Intel will strive to maintain a culture of honesty and respect

Top of FormBottom of FormWith plans to lay off 15% of the workforce, cutting 15,000 jobs, Intel CEO Pat Gelsinger has announced a major cost-cutting initiative with the aim of saving $10 billion by 2025. Pat Gelsinger described the decision as “painful” and one of the hardest of his career.

Gelsinger conveyed the news in a heartfelt memo, admitting the severity of the decision. He acknowledged the impact this could have on the employees, saying that, “This is painful news for me to share.” The CEO described this decision as one of the toughest of his career, and he reassured staff that Intel will strive to maintain a culture of honesty and respect throughout this challenging period. He also put across the company’s financial situation and the immediate need to address high costs and thin margins.

To mitigate the effects of this transition, Intel will introduce an improved retirement offer for eligible employees and a voluntary retirement program coming week. Despite the painful adjustments, Gelsinger expressed hope that these steps will set the stage for future growth. Gelsinger promised that the company is bringing forth these changes for its progress and open the doors for a novel era of growth. He highlighted that even though the road ahead is challenging, these steps are inevitable for Intel’s survival and future success.