Intel is laying off 529 employees in Oregon as part of a sweeping global restructuring plan that could eventually impact up to 20% of its workforce. The job cuts, beginning July 15, will affect workers at Intel’s Aloha and Hillsboro facilities, as confirmed in a regulatory filing. This move follows recent layoffs at Intel’s Santa Clara headquarters in California, where over 100 jobs were slashed. The company, under new CEO Lip-Bu Tan, is aiming to streamline operations after posting a $1.6 billion loss despite profitable business segments.

Intel stated the cuts are part of efforts to become “a leaner, faster and more efficient company,” with emphasis on eliminating organizational complexity and empowering engineering teams. The layoffs are affecting a broad range of roles, including chip designers, cloud engineers, and senior executives even a vice president of IT.

In Europe, Intel is also shutting down its automotive chip division in Munich, Germany, leading to further job losses. That unit had focused on developing software-defined vehicle platforms. Employees impacted by the layoffs are being given either a 60-day or 4-week notice period, plus nine weeks of severance pay and continued benefits. Intel’s internal foundry division is reportedly one of the most affected groups, with up to 20% of manufacturing staff at risk.

CEO Tan is pushing for a cultural shift, emphasizing smaller, high-performing teams over large managerial hierarchies. Intel is also outsourcing select marketing functions to Accenture, potentially using AI-driven systems to manage customer communications. These layoffs come amid a broader tech industry downturn, with over 62,000 workers laid off in 2025 so far. Tech giants like Microsoft, Google, Amazon, and Meta have also made significant job cuts, indicating continued turbulence in the sector.