Intel eliminated 1 in every 8 jobs across its Oregon workforce last year, reducing its local headcount by 3,000 positions as it sought to cut costs after a steep and sustained drop in revenue.

The state’s largest corporate employer discloses its Oregon headcount annually at the start of each year. At the beginning of 2024, Intel said it had more than 23,000 Oregon workers. A year later that figure is, officially, “over 20,000.”

Intel announced in August that it would slash its global workforce by 15,000 jobs and cut its 2025 budget by $10 billion. The company was responding to a prolonged downturn in revenue, triggered by diminished sales of its computer chips used in PCs and data centers and intense competition from rival semiconductor designers and manufacturers.

Intel left some jobs unfilled and offered buyouts to longtime employees, dangling at least 13 weeks of pay — plus 1.5 additional weeks for each year they had been with the company. Intel also paid prorated bonuses and extended health care benefits for those who left. Some longtime employees received several months of wages by accepting a buyout.

While Intel hasn’t said how many workers took the offers, it disclosed 1,300 layoffs in Oregon last fall as it handed pink slips to vice presidents, engineers, technicians and managers. It was one of the largest single rounds of job cuts in Oregon history.

Intel says it ultimately eliminated 16,500 jobs across the company through last year’s restructuring — 1,500 more jobs than it forecast. Intel reduced its global workforce by about 15%, which means it cut jobs in Oregon at about the same rate as it did companywide.

Intel’s operations in Oregon remain the company’s largest and most advanced anywhere in the world. It’s where Intel engineers each new generation of semiconductor and where thousands of researchers plan for many years of continued advances in chip technology.

The company said it remains committed to the state.

“Oregon is the heart of Intel’s process research and development and home to our largest concentration of talent and facilities globally,” the chipmaker said in a written statement. “Our teams in Oregon are driving innovation that fuels technological advancements and strengthens U.S. leadership in the semiconductor industry.”

Intel’s immediate future remains in flux, though, as the company faces some of the greatest challenges in its five-decade history.

CEO Pat Gelsinger retired abruptly last month under mounting pressure from investors and Intel’s own board. The company has two interim co-CEOs while it seeks a permanent replacement — and a long-term strategy.

Intel is contemplating an especially dramatic step, severing the business in two to separate the expensive process of manufacturing computer chips from the design phase.

A breakup would have profound implications for Oregon and its economy, which relies on billions of dollars Intel spends every year on employee wages and factory equipment.