Intel is laying off 58 more employees at its Folsom, California, campus as part of its ongoing cost-cutting strategy. The company disclosed the layoffs in a newly filed WARN report with the California Employment Development Department, with job cuts set to take effect by March 31.
The latest reductions follow a series of job cuts at Intel’s Folsom site, which has seen significant downsizing in recent years. Once employing over 6,000 people in 2018, the site now has fewer than 4,000 workers. In November 2023, Intel laid off 272 employees at the campus.
The layoffs align with Intel’s broader restructuring plan, previously outlined by former CEO Pat Gelsinger, which aims to eliminate 15,000 positions globally. The company has introduced voluntary separation and early retirement programs to facilitate these reductions.
Intel’s cost-saving efforts also include selling its 150-acre Folsom campus in a sale-leaseback deal to free up capital. The site, one of Intel’s largest, features seven buildings with a combined 1.5 million square feet of office, lab, and test space. Commercial real estate firm Colliers is managing the sale and leasing of vacant space.
In response to the ongoing job cuts, the City of Folsom and Choose Folsom, the local chamber of commerce, issued a joint statement acknowledging the impact on the community.
“We at the City of Folsom and Choose Folsom recognize the potential impact this news may have on our community. While the specific details concerning the number of layoffs affecting Folsom remain uncertain, we extend our deepest sympathies to all those impacted by this decision,” the statement read.
The statement also emphasized local efforts to support affected employees: “The City of Folsom and Choose Folsom are committed to supporting our local workforce during this challenging time. We are confident in our community’s resilience and ability to adapt to changes in the industry.”
Intel, founded in 1968 and headquartered in Santa Clara, California, has faced increased competition from semiconductor rivals such as Taiwan Semiconductor Manufacturing Co. (TSMC), AMD, and Nvidia. Its Folsom campus, covering 236 acres, remains a key hub for office, research, development, and support activities.
As Intel continues restructuring efforts, Folsom leaders remain hopeful about the city’s economic future. “As we navigate through this period, we look toward the future with optimism. We believe in the strength and diversification of the tech industry in Folsom and are dedicated to fostering an environment that continues to attract and retain a diverse range of tech enterprises,” the statement concluded.