AMD Cutting Jobs, Pay

January 19th, 2009 Posted in Business by Rajiv Ashrafi

With the economy worsening, computer hardware manufacturer AMD has disclosed that it will cut 1100 jobs and temporarily reduce pay for all remaining employees.

The cuts affect 9% of AMDs 12,000 employees. Of the 1100 positions, 900 will lose their jobs, with the other 300 stemming from attrition and the sale of one of its business units.

Theres more bad news: those who stay will get their salary reduced, too. This will depend on the role of the employee, with CEO and executive chairman seeing salaries cut by 20%, vice presidents and other top management will lose 15%, regular staffers 10% and hourly workers 5% less. AMD has also indefinitely suspended 401(k) matching.

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