Struggling chipmaker Intel plans to lay off some 1,300 employees in Oregon as it begins mass layoffs.

The tech giant’s cost-cutting measures will also impact 385 employees in Arizona, 319 employees in California and 251 employees in Texas, media reports say. 

In Oregon, the layoffs are set to take place at its campus in Aloha, Hawthorne Farm Campus, Jones Farm and Ronler Acres in Northeast Hillsboro, according to a notice the tech giant sent to state officials. 

Intel is Oregon’s second-largest private employer. The company employs more than 20,000 people in Oregon and has pledged to expand its footprint in the state.

In August, the tech giant announced it would cut 15% of its total workforce, or 15,000 jobs worldwide and reduce costs by over USD 10 billion.  

“As part of the broad-based cost savings plan we announced in August, we are making the hard but necessary decisions to reduce the size of our workforce,” Intel said in a statement. “These are the most difficult decisions we ever make, and we are treating people with care and respect. These changes support our strategy to become a leaner, simpler and more agile company as we position Intel for long-term sustainable growth.”

The first wave of layoffs will occur during a 14-day period starting on November 15. Employees will be given either a four-week or 60-day notice. 

Once the world’s leading chipmaker, Intel ceded its advantage to rivals like TSMC and Nvidia, failing to capitalize on an AI boom.

Intel and the US government are currently in talks to finalize a USD 8.5 billion in direct funding for the chipmaker.