Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Intel has announced job cuts of around 12000 staff by mid-2017, representing 11% of the company’s workforce. This will be made up of voluntary and involuntary redundancies, and is expected to save US$1.4 billion, half of which will be achieved this year. The cuts are as a result of falling PC sales, and instead the company will shift focus towards cloud computing and its data centre. Since the announcement, Intel shares have fallen by over three per cent despite rising profits, and by 13 per cent since the beginning of last year, as global PC shipments fell by 11.5% in the first quarter of 2016. Part of the cause of these losses is a deduplication of roles as a result of the US$16.7 billion acquisition of programming company Altera in January. Intel are mirroring wider changes in strategy in the industry, with both Microsoft and IBM moving away from PCs to other forms of computing.
Eurofound (2016), Intel, Internal restructuring in World, factsheet number 87306, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/87306.