Intel to Significantly Reduce Spending Amid Industry Slowdown, Cuts 5,000 Jobs.(Brief Article)

Santa Clara, CA--Intel said it is instituting cost-cutting measures to save "hundreds of millions" of dollars this year, as the company faces a slowdown in demand for its chips. Intel said it plans to reduce its employees through normal attrition and it is filling only "critical positions." The company also plans to cut discretionary spending, which includes travel and overtime, by 30%. Raises for all senior managers will be deferred until at least October. All other employees will receive half their raises now and the other half will be reviewed in October. Intel also said it is suspending its program of offering home PCs for salaried employees until Jan. 1, 2002.

Intel also announced that it would cut its work force by 6%, or 5,000 jobs, mainly through...

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