Micron Technology announces layoffs, cost cutting as chip demand drops
Micron will reduce its workforce by 10% next year and take other cost-cutting measures as the computer memory chip maker struggles to deal with too much supply amid a drop in demand.
Micron CEO Sanjay Mehrotra announced the restructuring during during a quarterly conference call with investors Wednesday, noting that prices for computer memory products had deteriorated significantly in recent months, Boise television station KTVB reported.
The company will cut staff by about 10% throughout 2023 through voluntary departures and layoffs, according to a filing with the Securities and Exchange Commission. Employee bonuses will also be suspended next year and executive salaries will be reduced for the remainder of the 2023 fiscal year which runs through August, the company said.
The Boise, Idaho-based company has about 48,000 employees across 38 sties in North America, Europe and Asia including more than 5,000 people in Boise. It has not announced where the layoffs will occur.
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