According to a Bloomberg report, Intel is firing 20 percent of its employees this week. These trimming are allegedly done with the aim of “eliminating bureaucracy”, streamlining management and rebuilding a more engineering-centric culture. This is the first major round of job cuts under the new CEO Lip-Bo Tan, which led the company last month. While the exact number of the affected employees or the time of retrenchment is not clear, the cut can affect thousands of workers globally.

The step comes a few weeks after earlier reports that Intel was planning another wave of trimming. If the requisite is done, the cut will be larger than last year’s trimming in August, when the company allows about 15 percent of its workforce to affect about 15,000 employees.

according to a Roots The report is planning extensive changes in Tan Intel, which includes its artificial intelligence (AI) strategy and overhaul of chip construction operations. One of his major goals is to simplify the internal structure of Intel by cutting the layers of middle management that he sees as slow and incompetent. Recently in a town hall, Tan warned the employees that “tough decisions” would be needed to create.

The 65 -year -old Tan was the CEO of the first Taal and served on the board of Intel till August last year. His return comes after a difficult decade for Intel, which has faced repeated failures under the last three CEOs. Once the individual computer and data center became prominent in the markets, the company has lost ground for rivals such as Nvidia and ARM, especially in the rapidly growing AI chip segment. Intel reported an annual loss of $ 19 billion in 2024, which was the first since 1986.

As part of his turnout plan, Tan is focusing on Intel’s engineering roots. Speaking at Intel’s “Vision” event earlier this month, he emphasized the need to empower engineers, encourage innovation and reconstruction of trusts with customers. He has also said that recruitment and maintaining top engineering talent is one of his top priorities.

Intel’s new strategy appears to be a scale-down version of former CEO Pat Gailinger’s approach, aims to place Intel as a major global chip manufacturer for other technical giants. Tan is expected to continue that effort, but focused on and execution with a lean team.

Thousands of employees were fired in the technical industry in 2023 and 2024, the sorting shook the industry in 2025, more than 23,500 employees so far have allowed 93 companies to cross. Google recently placed hundreds of people in its platforms and equipment division after the first cut in cloud and HR teams. Microsoft is also planning a new round of pruning in May in May, with focus on reducing middle management and increasing its engineer-to-manager ratio. These tricks reflect a comprehensive change towards A-LED reorganization and performance-based termination. This trend extends beyond technical giants, trimming employees with companies such as Meta, Tikok, Ola Electric and Siemens as they follow efficiency and suit market pressure.