(Reuters) -French-Italian computer chip maker STMicroelectronics is considering cuts of up to 6% of its workforce or 3,000 workers in its French and Italian plants as part of a restructuring program,
STMicroelectronics Considers Job Cuts of Up to 3,000 in Europe
(Reuters) -French-Italian computer chip maker STMicroelectronics is considering cuts of up to 6% of its workforce or 3,000 workers in its French and Italian plants as part of a restructuring program, Bloomberg News reported on Friday, citing anonymous sources. A spokesperson for ST could not confirm the figures, but pointed to remarks CEO Jean-Marc Chery made at the company's fourth quarter earnings on Thursday, that the company would open talks with unions on voluntary headcount reductions as part of a $300 million cost cutting program.
The company, in which the French and Italian governments hold a 27.5% share, employs 50,000 people worldwide and has been facing a sustained downturn in its key markets, automotive and industrial.
ST first announced its restructuring plans in November, saying it will shift production away from older plants and smaller wafer sizes to focus on more advanced facilities in Crolles, France and Agrate, Italy.
(Reporting by Toby Sterling in Amsterdam, Nathan Vifflin in Gdansk; Editing by Toby Chopra and Philippa Fletcher)
