Intel is reportedly offering voluntary redundancy packages of up to €500,000 to its employees in Ireland, particularly those at the company’s Leixlip branch. This move is part of Intel’s broader efforts to reduce its global workforce by more than 15%.
According to the Business Post, notification emails were sent out last week, with a deadline of August 23 for employees to apply for the package. Under the proposed terms, employees with over two years of service could receive five weeks’ pay for each year worked. Those with less than two years of service would be eligible for a payout ranging from two to five weeks’ pay. This is above the Irish labor law requirement, which mandates a minimum of two weeks’ pay per year of service.
Intel Employees in Ireland Offered Up to €500,000 for Voluntary Resignation
The maximum payout could reach as high as €500,000 ($546,772) for some employees, depending on their length of service and other factors. Employees who apply and are approved for the program will be notified by September 6 and are expected to leave the company by September 30.
Intel currently employs 4,900 people in Ireland. If the company enforces a 15% workforce reduction, approximately 730 employees could be affected. Should the voluntary redundancy uptake fall short of expectations, Intel may be forced to implement mandatory layoffs.
Intel has declined to comment on the specifics of the redundancy packages or whether similar offers will be extended to employees in other locations.
This voluntary redundancy program is part of Intel’s ongoing restructuring plan, which focuses on the development of AI processors and regaining its technological edge in the semiconductor industry. The company, once a leader in the chipmaking field, has faced increasing competition from rivals like Nvidia and AMD. Intel is also working to regain the advantage it lost to TSMC, the world’s largest contract chipmaker.
As of June 29, Intel had 116,500 employees globally. The staff reductions, which are expected to be completed by the end of the year, could potentially affect between 15,000 and 19,000 employees, according to various reports.
