Intel to cut over 20,000 employees, says report — and middle managers are on the chopping block

The reported wave of layoffs will reduce middle management at Intel.

Intel will soon lay off more than 20 percent of its workforce, according to a report by Bloomberg. The move is reportedly aimed at reducing middle management at the chipmaker. Intel had 108,900 employees as of the end of 2024, so the upcoming cuts would likely see over 20,000 fired.

The job cuts would be one of the first major moves made by Intel since the company appointed Lip-Bu Tan as CEO. Tan also announced an agreement to sell 51 percent of Intel's stake in Altera, an FPGA (programmable) semiconductor manufacturer, indicating that Intel's new CEO is willing to make drastic changes to restore the company.

Intel cut 15,000 jobs last August, though that move occurred under previous leadership.

Tan entered the CEO role during a time of turmoil at Intel. The company's stock dropped 60 percent in 2024, and Intel saw a net loss of $1.6 billion in a single quarter.

Intel revenue dropped 7 percent year-over-year in the fourth quarter of 2024.

Tan did not dance around the issues facing Intel in remarks he made to employees in an email following his appointment:

"Together, we will work hard to restore Intel's position as a world-class products company, establish ourselves as a world-class foundry and delight our customers like never before."