GF will lay off 800 people worldwide, accounting for nearly 6% of the total workforce

According to VTDigger, the international semiconductor company GF told employees at a staff meeting on Thursday morning that the company will lay off as many as 800 people worldwide in December.

"As part of our most recent all-hands meeting, we shared the cost-saving actions we are taking across the business in response to the current macroeconomic environment, including reducing corporate and manufacturing overhead costs and selectively reducing headcount globally. 800 employees before the end of the year,” company spokeswoman Julie Moynehan said in an email to VTDigger.

Moynehan declined to comment further.

These 800 employees represent 5.7% of GF's 14,000 employees worldwide.

GF CEO Tom Caulfield emphasized that most of the layoffs will be in non-manufacturing positions, such as executives, said an employee who attended the meeting virtually at the Essex Junction plant.

The layoffs were "fewer than I originally thought," said the employee, who spoke on condition of anonymity out of fear of retaliation for speaking up about the company.

"I'm still concerned," the employee said.

Staff also have the option to attend meetings in person at GF facilities around the world.

Caulfield did not say how many people would be laid off in Vermont, but said U.S. and Singaporean employees would be notified of layoffs next week, according to the employee. Employees there will be notified at a later date due to stricter German laws protecting workers, the employee said. The company is headquartered in Malta, New York, with facilities in Vermont, New York, Singapore and Germany.

Caulfield and other executives failed to answer numerous questions about why the company's recent profits were not being used to preserve jobs, the employee said.

GF ended the third quarter with a 22% increase in revenue from the previous year. In October, the company announced a $30 million grant to develop advanced semiconductors at Essex Junction. That same month, the Vermont Public Utilities Commission approved the company's request to create its own utility to save money on electricity bills.

Then, in meetings with Wall Street analysts and employees in recent weeks, Caulfield warned that the company would have to cut costs to prepare for lower demand for semiconductors as the world economy slows and faces a possible recession.