Intel Corp. has told state officials it’s laying off workers at the Rio Rancho plant.
According to data from the New Mexico Department of Workforce Solutions, 227 positions will be cut by September. Federal and state laws require employers to provide 60 days’ notice in advance of plant closings and mass layoffs.
Prior to the announcement, Intel had more than 3,000 employees in New Mexico, according to the company’s website.
Sandoval County Manager Wayne Johnson Tuesday told the Sandoval Signpost he wasn’t surprised by the layoffs, given that Intel has been slashing thousands of jobs across the country. He noted that other states, including Arizona and Oregon have seen bigger cuts.
Johnson noted that the plant was expanded in part through local and state economic development incentives. He said the conditions for receiving grants and bonds in the millions of dollars included the creation of 700 jobs. Johnson said the company has nearly doubled that number and will remain well above the target even after the layoffs.
He said county leaders will soon be discussing what transition assistance displaced workers will need, and that he hopes at least some can find employment with local electronics manufacturer Lectrasonics Inc.
“It would be nice to have folks here in Sandoval County have a softer landing,” he said.
Johnson said the news isn’t a reflection of the viability of doing business in Sandoval County, but rather specific to Intel.
It’s unknown which positions are affected. The company announced in April that it would be slimming down, and reiterated its intent in a statement Tuesday.
“As we announced earlier this year, we are taking steps to become a leaner, faster and more efficient company,” Intel sent by email in response to a request for comment. “Removing organizational complexity and empowering our engineers will enable us to better serve the needs of our customers and strengthen our execution. We are making these decisions based on careful consideration of what’s needed to position our business for the future, and we will treat people with care and respect as we complete this important work.”
The company is scheduled to release its second-quarter earnings report on Thursday.