Intel Corp. is adding 235 new permanent layoffs at the end of this month to the 549 cuts it has already made this year at its Folsom office campus.
The company reported to state employment officials that it would have a permanent layoff of 235 employees at the Folsom campus, effective Dec. 31.
Intel (Nasdaq: INTC) wouldn’t elaborate on whether any specific groups or teams were part of this cut, said spokesperson Addy Burr, via email.
"Intel is working to accelerate its strategy while reducing costs through multiple initiatives, including some business and function-specific workforce reductions in areas across the company," Burr said. "These are difficult decisions, and we are committed to treating impacted employees with dignity and respect."
With the latest round of employee cuts later this month, Intel Folsom will have had 784 permanent layoffs effective this year.
Burr said Intel still has more than 13,000 employees in California and it continues to "invest in areas core to our business, including our U.S.-based manufacturing operations, to ensure we are well-positioned for long-term growth.”
Intel Folsom is an office, research and development and support site, but it is not one of the company’s chip manufacturing factories and it never has been. The Folsom campus includes 1.5 million square feet of office, test floor and lab space. It is one of the company’s largest sites.
Intel cut 58 Folsom positions in October and cut 89 Folsom jobs in August.
As of August, Intel still had 5,182 employees in Folsom, according to Business Journal research, making it the largest local tech employer.
In May, Intel cut 62 employees at Folsom, in what was the company's third series of job cuts in a span of five months. Intel also cut more than 340 positions in Folsom effective in January and March.
Intel began cutting after it watched revenue decline 20% from $79 billion in 2021 to $63.1 billion at the end of 2022.
The company reported a first-quarter loss of $2.77 billion on lower chip revenue. It was the largest loss ever for a quarterly period for the chip giant, and it compared to a profit of $8.11 billion in the first quarter of 2022. The revenue drop was attributed to an industrywide slowdown in chip sales related to slowing personal computer sales.
