Sunnyvale, Calif. – Semiconductor manufacturer AMD (NYSE: AMD) said on Friday that it plans to cut 1,100 jobs — around 9% of its staff — in a move to slash expenses in the face of waning demand.
"As a result of the continuing global economic downturn, we have determined that we need to take difficult but prudent actions designed to reduce our costs," said AMD in a statement.
"Beginning in February, we are undertaking several steps to lower costs, including temporarily reducing employee base pay and suspending some benefits programs."
In another cost-cutting move, the company said that its chairman, Hector Ruiz, and CEO Dirk Meyer will temporarily take 20% salary cuts, while U.S. and Canadian executives holding the title of at least vice president will take 15% cuts.
Other salaried workers will take a 10% cut, while hourly workers will see their wages trimmed 5%. All of those cuts are temporary, the company said.