STMicro Will Eliminate 5,000 Jobs in the Next Three Years, Says CEO

CEO Jean-Marc Chery revealed at a BNP Paribas event in Paris that STMicroelectronics N.V. (NYSE:STM) will lose 5,000 workers over the next three years, including 2,800 job layoffs that have already been publicized.

CEO: STMicro will eliminate 5,000 jobs in the next three years.

A worker assembling the inner circuitry of a semiconductor product.

It is anticipated that 2,000 of the total will depart naturally, with voluntary departures making up additional reductions. Chery pointed out that continuing talks with local authorities were the reason for implementation delays, especially in Italy.

The French and Italian governments jointly share a 27.5% interest in STMicroelectronics N.V. (NYSE:STM), which employs 50,000 people worldwide. Its cost-cutting initiative, which was started in late 2024, is to reduce the workforce through early retirement and attrition in order to save hundreds of millions by 2027. In April, the business announced that 1,000 of the 2,800 scheduled layoffs would be voluntary in France.

According to reports, the Italian government has opposed further cuts and has pushed to limit them to 1,000. Market declines and CEO-targeted insider trading accusations, which the company refutes, are additional factors putting pressure on the business.

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