Intel announced last month that it would begin workforce reductions in July 2025 as part of a broader effort to restructure and streamline operations across its manufacturing units. The company planned to lay off 15% to 20% of its foundry workforce, impacting over 10,000 employees worldwide—about one-tenth of its global manufacturing staff.
The layoffs have now begun, with job cuts set to start on July 15 at Intel’s Aloha and Hillsboro sites in Oregon. Reports indicate that more than 500 permanent positions will be eliminated in Oregon alone. Notably, Hillsboro is home to some of Intel’s largest factories and research facilities, making the company the city’s largest employer.
These reductions follow earlier cuts at Intel’s Santa Clara headquarters in California, where 107 positions were eliminated.
Since Lip-Bu Tan stepped in as CEO in March 2025, he has been focused on streamlining operations and promoting direct reporting structures. Key teams working on artificial intelligence (AI), PC processors, and data center technologies now report directly to him.
With these layoffs, Intel aims to simplify its organizational structure, empower its engineering teams, and increase agility amid declining demand for personal computers and rising industry competition. The company hopes these changes will lead to improved customer satisfaction and more responsive operations.
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