SUNNYVALE, CA: Advanced Micro Devices (AMD) took internal communications measures following its April 7 announcement that it would cut about 10% of its workforce.
AMD issued an internal memo to its 16,500 employees and contracted with an outplacement agency to provide career and job assistance to deposed workers.
The company describes the service as "competitive and respective of local markets."
"Head-count reductions are never an easy step, but we need to take this action to help create a cost structure that positions us to better achieve our business objectives and helps AMD return to profitability," said Brenda Rarick, AMD PR manager.
Layoffs will be completed in the third quarter.
AMD expects revenues for the first quarter, which ended March 29, to total about $1.5 billion, which represents a 15% drop compared to the fourth quarter of 2007. The company will report the results after the April 17 market close.
PRWeek had reported in its February 25 issue on AMD's selection of Bite Communications for product PR and Ketchum for corporate PR.
Rarick said it would be "purely speculative and premature" to discuss whether reducing the cost structure would impact the agencies. She would not comment further.