Intel firing spree: 15K job cuts, India on radar

World's largest computer chipmaker Intel Corporation has pressed the 'Ctrl-Alt-Del' keys on its employees, with 1,000 managers worldwide already laid off and as many as 15,000 staffers estimated to be in the firing line.

The planned workforce reduction, including 1,000 already announced, is likely to include a significant chunk from the company's 3,000-strong team in India, sources said.

The huge lay-off plan comes amid a sharp 57% plunge in Intel's second-quarter net profit and concerns over market share loss to rival chipmaker Advanced Micro Devices (AMD).

The company said yesterday that its worldwide sales dropped 13 per cent in the June quarter, while its Asia Pacific sales dropped 14% from the year-ago levels.

Intel CEO Paul Otellini said in an internal memo sent to employees last week that the number of Intel managers was being reduced by about 1,000.

While the company has confirmed the elimination of 1,000 managers, its officials declined to comment on the extent of the planned downsizing affecting its India operations.

However, a company official here told PTI that further details about the outcome of a 90-day efficiency review project, which has been termed as the driver behind the latest round of lay-offs, would be announced later this month.

Sources in the know  said the company was contemplating further workforce reduction in the near future, while it had no immediate hiring plans in India as well.

When asked about the company's hiring plans, Intel's Asia-Pacific spokesperson Mark Miller said from Hong Kong,
"It is true that there are very few other job opportunities currently available, except for very few exceptions, but this is across the company and not specific to India."