Intel announces salary cuts for employees, execs up to 25 percent
Intel Corp said on Tuesday that it had made broad cuts to employee and executive pay, a week after the company issued a lower-than-expected sales forecast driven by a loss of market share to rivals and a PC market downturn.
The reductions will range from 5 percent of base pay for mid-level employees to as much as 25 percent for Chief Executive Pat Gelsinger, while the company’s hourly workforce’s pay will not be cut, said a person familiar with the matter who was not authorized to speak publicly.
Intel spokesperson Addy Burr said in a statement that the “changes are designed to impact our executive population more significantly and will help support the investments and overall workforce.”
Intel last week said its profit margins were plunging as the PC market cools after several years of growth during the pandemic.
Gelsinger also conceded that Intel has “stumbled” and lost market share to rivals such as Advanced Micro Devices Inc, which on Tuesday reported quarterly sales that were above Wall Street’s expectations.
The person familiar with Intel’s pay cuts said that in addition to 5 percent decreases for mid-level employees, vice president level employees will see 10 percent reductions and the company’s top executives other than the CEO will get 15 percent cuts.
The company has also lowered its 401(k) matching program from 5 percent to 2.5 percent and suspended merit raises and quarterly performance bonuses, the person said.
Annual performance bonuses based on Intel’s overall financial performance will remain but those bonuses have been smaller in recent years as the company has lost ground to rivals, the person added.
For the unversed, the company recently launched its 13th Gen Intel Core i9-13900KS desktop processor. Intel says that the 13th Gen Intel Core i9-13900KS is the world’s fastest desktop processor and that it delivers a clock speed of up to 6GHz max turbo frequency out of the box.
As far as features are concerned, this newly launched desktop processor delivers up to 6GHz of max turbo frequency with Intel Thermal Velocity Boost, making it the first CPU in the PC industry to reach that speed without overclocking.
–With inputs from Reuters
The post Intel announces salary cuts for employees, execs up to 25 percent appeared first on Techlusive.
Intel Corp said on Tuesday that it had made broad cuts to employee and executive pay, a week after the company issued a lower-than-expected sales forecast driven by a loss of market share to rivals and a PC market downturn.
The reductions will range from 5 percent of base pay for mid-level employees to as much as 25 percent for Chief Executive Pat Gelsinger, while the company’s hourly workforce’s pay will not be cut, said a person familiar with the matter who was not authorized to speak publicly.
Intel spokesperson Addy Burr said in a statement that the “changes are designed to impact our executive population more significantly and will help support the investments and overall workforce.”
Intel last week said its profit margins were plunging as the PC market cools after several years of growth during the pandemic.
Gelsinger also conceded that Intel has “stumbled” and lost market share to rivals such as Advanced Micro Devices Inc, which on Tuesday reported quarterly sales that were above Wall Street’s expectations.
The person familiar with Intel’s pay cuts said that in addition to 5 percent decreases for mid-level employees, vice president level employees will see 10 percent reductions and the company’s top executives other than the CEO will get 15 percent cuts.
The company has also lowered its 401(k) matching program from 5 percent to 2.5 percent and suspended merit raises and quarterly performance bonuses, the person said.
Annual performance bonuses based on Intel’s overall financial performance will remain but those bonuses have been smaller in recent years as the company has lost ground to rivals, the person added.
For the unversed, the company recently launched its 13th Gen Intel Core i9-13900KS desktop processor. Intel says that the 13th Gen Intel Core i9-13900KS is the world’s fastest desktop processor and that it delivers a clock speed of up to 6GHz max turbo frequency out of the box.
As far as features are concerned, this newly launched desktop processor delivers up to 6GHz of max turbo frequency with Intel Thermal Velocity Boost, making it the first CPU in the PC industry to reach that speed without overclocking.
–With inputs from Reuters
The post Intel announces salary cuts for employees, execs up to 25 percent appeared first on Techlusive.
