Intel set to cut jobs globally by at least 10,000
Intel, one of the State's largest employers with over 5,500 permanent and contract staff, is expected to announce worldwide job cuts of at least 10,000 employees - or a tenth of its staff - on Tuesday. Karlin Lillington and Mark Brennock report.
Many financial analysts predict that widespread job cuts, the largest since swingeing job losses in the 1980s, will be announced when chief executive Paul Otellini briefs staff on Tuesday about the results of an internal report commissioned last spring, after Intel disclosed its largest profit drop in four years. In the company's second quarter financial results in April, Mr Otellini predicted Intel's first sales drop in five years and management said the company was unlikely to meet its 2006 sales forecasts.
Reports last night suggested anything between 10,000 and 20,000 jobs could be cut, but there was no information available about what part of the company 's operations would suffer. Ironically the company's share price was up last night in the US by 1.8 per cent.
