Intel jobs axe: 'Minimal effect' on Irish factories

Intel confirmed tonight that it would cut 10,500 jobs worldwide, but it is believed the move will have a minimal effect on the thousands employed at the computer chip company’s Leixlip and Shannon plants.

Intel is one of the state’s largest employers with more than 5,500 permanent and contract staff.

The majority of job losses will be made in the coming year in its management, marketing and information technology sectors.

The move is part of a major restructuring programme to make savings of £1.7bn (€2.5bn) billion in 2008.

“These actions, while difficult, are essential to Intel becoming a more agile and efficient company, not just for this year or the next, but for years to come,” said Paul Otellini, Intel president and chief executive officer.