Closing up shop in Costa Rica is Intel's latest attempt to cut costs
Intel, the world's largest supplier of semiconductors, is in the process of shutting down an assembly and test plant in Costa Rica as part of continued efforts to slash costs across the board. Closing the plant will result in around 1,500 layoffs, as well as take away one of Costa Rica's major exports. Intel issued a statement saying the closure is completely unrelated to the election of the new Costa Rica government.
"It's being closed and consolidated into our other operations throughout the world," Intel spokesman Chuck Mulloy said in a statement to Reuters.
Intel said it will still have more than 1,000 engineers, finance, and human resource employees in Costa Rica. The chip maker also plans to continue with some research and development projects in the area, which will entail the hiring of another 200 "high-value" positions.
This all falls in line with Intel's announcement in January that it was planning to reduce its workforce of around 107,000 employees by about 5 percent this year.