Feeds

Intel confirms it will axe 5,400 workers in 2014

Last year saw hiring – this year will see the reverse

The essential guide to IT transformation

Updated Intel plans to cut its workforce by approximately 5,400 employees this year, a company spokesman told The Reg.

After the workforce reduction was revealed by Reuters, Intel senior manager of corporate and financial PR Chris Kraeuter confirmed to us that there will be a reduction of "about 5 per cent" of the company's 107,600 employees during this year.

The news comes in the wake of Intel's earnings report announced this Thursday, in which revenues for fiscal 2013 dropped to $52.7bn from 2012's $53.3bn, a slippage of just over 1 per cent.

Thursday's report included company guidance that revenues would be "approximately flat" for the full 2014 fiscal year, and that revenue for the first quarter of 2014 is expected to be $12.8bn, plus or minus $500m, down from the $13.8bn reported for the final quarter of 2013 – a not unexpected drop when seasonality is factored in.

In its Thursday Form 8-K filing with the US Securities and Exchange Commission, Intel indicated that it had "added approximately 2.5K employees in 2013."

With today's news, that trend line is now to be reversed. ®

Update

After this article was posted, Intel's Kraeuter contacted us with the following statement:

I'd like to clarify that we are not announcing a layoff. Business groups are developing plans to reduce spending and this will include some reduction in headcount. In addition, we are realigning and refocusing our resources to meet the needs of the business. When we talk about reduction of the workforce there are a number of things that can happen. It could include redeployments, voluntary programs, retirements, and through attrition. All are options so it would be wrong to conclude this is a layoff. Our usual rate of attrition is close to 4 percent worldwide.

5 things you didn’t know about cloud backup

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.