It would seem business is not as usual for GLOBALFOUNDRIES, which started as the spin-off from AMD's manufacturing arm way back on March 2, 2009. Blaming the capricious chip market's fluctuations, the company is looking to divest longtime employees in all three of its U.S. semiconductor manufacturing plants, including Essex Junction, which it acquired from IBM in 2015 by... receiving a $1.5 billion payment from the company. And as part of the deal, GLOBALFOUNDRIES agreed to be IBM's exclusive provider of semiconductor chips through 2025.
"We go through these ebbs and flows," Spokesman Jim Keller said Wednesday. "Right now we're at a point where some customers delayed their orders. We're in a period where we don't have as much business." The "voluntary separation" program is part of a larger cost cutting initiative that will look for other efficiency savings as well, though "layoffs are also a possibility". Keller would not say how many of GLOBALFOUNDRIES' 2,800 employees at Essex Junction are eligible for the early retirement program. Most of the workers eligible are in "support roles," such as administrative, sales or finance.
Reply With Quote
Bookmarks