Intel Corporation Offers Voluntary Exit

The chip maker is planning to cut off around 12,000 jobs, globally.

According to the sources privy to the matter, the chipmaker Intel Corporation has been aiming its staff with over 20 years of experience for the possible layoff. The company has been planning on to remove close to 12,000 jobs across the world. The Santa Calif. firm has set the deadline at May 27 for the employees to come up with the decision of taking voluntary exit.

According to a report, the staff members were asked to calculate the entitlement of the respective employees in relation to the redundancy package by accessing an online tool. The voluntary sign up commenced on May 5 and the company has set May 27 as closing date for the employees to decide if they are willing to take voluntary exit. If they may, they will only have to click “accept” on the “selection tool.” After the PCs’ demands fell substantially, America’s most popular chipmaker is looking forward to lay off at least 400 employees from the total workforce of 4,500 in plants in Cork, Leixlip, and Shannon. The $141 billion organization has transferred its focus largely on Internet of Things and cloud computing.

In Ireland, the news of such hard redundancy was received by surprise as the semiconductor manufacturer has spent close to $4.1 billion in the last five years in an attempt to bring about some improvement in its Leixlip plant. In Europe, the latter is the biggest plant of the chipmaker.

Staff members having substantial amount of experience were selected for the redundancy program. The workers belonged to number of positions and covered around every title from process technicians and maintenance technicians to planning yield engineers. The selected staff members were based at Intel’s 350 acre campus in Leixlip.

The main criterion for the redundancy is “the length of the service” particularly if they have served the same position for a long time. According to the report, the chipmaker didn’t specify the definite criterion of employee selection for the redundancy program but the only thing which has been noticed was that the company turned down the requisition of the employees who had the experience lesser than 20 years.

Currently, the company has asked its employees to continue working but the workers who are “on the list” are terrified that they will be the first one to get axed as soon as the chipmaker introduces further cuts. According to the reports, the workers are afraid that company’s redundancy offer will be taken back in the future. As of now, the company is offering redundancy package equivalent to five weeks’ pay per service year, in addition to statutory, capped at two years’ pay.

A source which spoke on the basis of anonymity said, “Whatever way they were selected, no one in Ireland had a say. It came from the States. The new CEO let executives go last year and what he seems to what is young workers on lower wages pushing upwards for promotion constantly.”

At the market which closed on Tuesday, Intel stock stood at a price of $30.14. The 52 week range of the stock is $25 to $35.