Cypress Semiconductor cutting 500 jobs

Cypress Semiconductor is cutting about 500 jobs, or about 7 percent of its workforce.

The San Jose company disclosed its restructuring plan — which it’s touting as part of shifting its focus to its high-growth businesses — in a filing Monday, less than two months after it named Hassane El-Khoury as the successor to longtime CEO T.J. Rodgers. Rodgers stepped down as chief executive in April after 34 years at the helm.

The company started layoffs at its headquarters on Sept. 27, Cypress said in an emailed statement. A spokesman wouldn’t comment on how many employees in San Jose will lose their jobs. The filing said the 500 job cuts would come from all areas in its global workforce of about 6,900.

Cypress said in its filing that it will take charges of $40 million to $50 million related to the job cuts in the third and fourth fiscal quarters of 2016.

The growth areas Cypress identified in its most recent earnings report ended July 3 were automotive, industrial and the internet of things. Earlier this year, Cypress bought Broadcom’s internet of things business.

 

Photo: One of the Cypress Semiconductor buildings along the First Street corridor in San Jose is shown in 2001. (Len Vaughn-Lahman/Mercury News)

 

Tags: , , , ,

 

Share this Post



 
 
 
  • Chuck Martin

    Yet another example of what happens first when a non-tech person is put in charge of a tech company.

    • Jones

      So engineer / tech CEO’s never lay off staff? Wow, go figure!

 
 
css.php