After layoffs, Intel cuts salaries for workers – Occasions of India

After shedding workers, Intel has determined to chop salaries for workers, starting from 5 to 25 per cent, with the CEO Pat Gilsinger taking a most 25 per cent reduce on his base wage.
The pay for the chief management group on the chipmaker might be lowered by 15 %. Senior managers will obtain a ten % lowered compensation, and mid-level managers will obtain a 5 per cent reduce to their base salaries. Nevertheless, this won’t have an effect on workers beneath the seventh tier and hourly wage employees.
“As we continue to navigate macroeconomic headwinds and work to reduce costs across the company, we’ve made several adjustments to our 2023 employee compensation and rewards programs,” mentioned Intel in a press release.
“These changes are designed to impact our executive population more significantly and will help support the investments and overall workforce needed to accelerate our transformation and achieve our long-term strategy.”
Intel reduces headcount, slows down spending amid crash
The announcement comes every week after Intel shared its prediction for this quarter, which doesn’t look good because it might be one of many worst quarters for the corporate since 2010. The slowdown within the laptop market and difficult competitors have affected the earnings, devouring the chip maker’s money reserve.
Other than layoffs and pay cuts, the chip maker has slowed down the spending on new fabrication plans to avoid wasting money. Intel plans to avoid wasting $3 billion yearly, with a aim to avoid wasting as a lot as $10 billion by the tip of 2025.
Pat Gilsinger isn’t the one CEO to take a pay reduce this yr. Apple CEO Tim Prepare dinner took a pay reduce of greater than 40 %, taking $49 million in 2023.