Intel is offering Irish workers three months unpaid leave as a big cost-cutting move

ONE of the country’s largest employers has offered its employees three months of unpaid leave as part of a cost-saving measure for the company.

Around 5,000 people work at the Irish location of the technology giant Intel in Kildare.

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The American company has reported a slowdown in demand for technology in recent months, with many other technology companies also currently under pressure.

Intel hopes to reduce its total annual costs by around $10 billion globally by the end of 2025.

As part of a cost-cutting effort, bosses at the company’s Irish headquarters have offered employees the opportunity to take three months’ unpaid leave.

In a statement, Intel said “voluntary sabbatical programs” give the company an opportunity to cut costs in the short term while retaining top talent.

‘KEY ELEMENT’

They said: “During our recent earnings conference call, we announced significant steps to reduce costs and increase efficiencies while carefully protecting the investments needed to accelerate our transformation and position ourselves for long-term growth.

“Retaining our manufacturing talent is a key element in positioning Intel for long-term growth.

“Voluntary leave programs give us the opportunity to reduce costs in the short term and offer employees attractive leave opportunities.

“Manufacturing talent is an important element of our business here in Ireland.”

Intel recently told investors that they would have to pursue cost-saving measures, including layoffs, in the near future.

However, no details were released about the number of staff they would have to lose, including whether this would impact Irish workers.

Intel is currently finalizing the outfitting of a major new manufacturing facility at its Kildare site.

‘FAB’ EXTENSION

The company has committed to expanding its Irish manufacturing base with the new ‘Fab’ expansion, which will cost the company nearly €20 billion.

Intel’s cost-cutting moves come as technology companies across the country are shedding headcount as the sector comes under pressure.

Facebook, Twitter and PayPal are all announcing major layoffs at their Irish operations, with almost 1,000 tech jobs lost in Ireland so far this year.