Intel delivers the worst Chinese New Year gift to Malaysia by announcing its decision to shut down and close 2 assembly and test plants operating in Penang.
Apart from Penang, other plants affected with the latest job cut include Philippines (Cavite) and United States (Oregon, California) as the company deploys another series of massive organizational restructuring and layoff exercise.
The last time Intel involved in major retrenchment was back in 2006, after laying off more than 10,000 workers worldwide in a corporate restructuring implementation.
The company recently announced its first quarterly loss, after 22 years of prosperous business.
The job loss figure is expected to be as high as 6,000, with about one third made up by Malaysian employees. Some of the affected employees are said to be absorbed by other plants, but the number remains a mystery, and most likely, minimal.
Intel is the world’s largest semiconductor company and chip maker, employing more than 80,000 workers in its worldwide operation. It is also one of the largest and most important technology investors in Penang, and for long has been regarded as one of the top manufacturing companies in the northen state.