INTC · 10-K · 2025A · Full report
Headcount / Restructuring
INTEL CORP · 2026-01-23 · Importance 62 · Surprise 58
In Q2 2025 Intel implemented the 2025 Restructuring Plan and other transformation actions that reduced core Intel workforce by approximately 15% by the end of FY2025 versus Q2 2025 headcount. Intel recognized $2.2 billion of restructuring charges in 2025, comprised of $1.8 billion of cash-based employee severance and related exit charges and $474 million of non-cash asset impairment charges in 2025. A majority of 2025 Restructuring Plan actions were completed by end of Q4 2025, with remaining actions expected to complete in 2026; headcount reductions materially lowered payroll-related operating expenses in 2025. The company substantially completed its 2024 Restructuring Plan and recognized $2.8 billion in 2024 and $348 million in 2025 related to that earlier plan.
Key facts
- DCAI operating income increased $2.0 billion from 2024 to 2025, primarily due to $1.5 billion of favorable impacts related to lower operating expenses driven by lower payroll-related expenditures from headcount reductions.
- Years ended restructuring and other charges: employee severance and benefit arrangements $1,790 million in 2025 and $2,481 million in 2024.
- Intel Foundry had $1.2 billion of lower operating expenses in 2025 primarily due to lower payroll-related expenditures from headcount reductions under 2025 and 2024 Restructuring Plans.
- In 2025 Intel streamlined its footprint by initiating consolidation of Costa Rican assembly and test operations into other facilities with completion expected by the end of 2026.
- The 2025 Restructuring Plan reduced Intel's core workforce by approximately 15% by the end of fiscal 2025 compared to Q2 2025 ending employee headcount.
- CCG had $590 million of favorable impacts in 2025 from lower operating expenses primarily due to lower payroll-related expenditures from headcount reductions under the 2025 and 2024 Restructuring Plans.
- Restructuring and other charges totaled $2,191 million in 2025, representing 4.1% of revenue.
- Intel recognized restructuring charges of $2.2 billion in 2025 primarily from initiating and deploying the 2025 Restructuring Plan and substantially completing the 2024 Restructuring Plan.
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | realized | -4.1% | Restructuring and other charges totaled $2,191 million in 2025, representing 4.1% of revenue. |
| net_income | negative | realized | -4.1% | Intel recognized restructuring charges of $2.2 billion in 2025 primarily from initiating and deploying the 2025 Restructuring Plan and… |
| operating_income | positive | realized | +3.7% | DCAI operating income increased $2.0 billion from 2024 to 2025, primarily due to $1.5 billion of favorable impacts related to lower… |
| operating_income | negative | realized | -3.3% | Years ended restructuring and other charges: employee severance and benefit arrangements $1,790 million in 2025 and $2,481 million in 2024. |
| operating_income | positive | realized | +2.2% | Intel Foundry had $1.2 billion of lower operating expenses in 2025 primarily due to lower payroll-related expenditures from headcount… |
| operating_income | positive | realized | +1.1% | CCG had $590 million of favorable impacts in 2025 from lower operating expenses primarily due to lower payroll-related expenditures from… |
| operating_income | negative | realized | -1.0% | Asset impairment charges in 2025 primarily included $522 million of non-cash charges associated with the 2025 Restructuring Plan for exit… |
| cash | negative | realized | -0.8% | Restructuring charges in 2025 were primarily composed of cash-based employee severance and related employee exit charges of $1.8 billion. |
| assets | negative | realized | -0.3% | Asset impairment charges in 2025 primarily included $522 million of non-cash charges associated with the 2025 Restructuring Plan for exit… |
| operating_income | negative | probable | — | In 2025 Intel streamlined its footprint by initiating consolidation of Costa Rican assembly and test operations into other facilities with… |
| operating_income | positive | probable | — | In 2025 Intel streamlined its footprint by initiating consolidation of Costa Rican assembly and test operations into other facilities with… |
| operating_income | negative | contingent | — | Intel's undesired turnover rate was 7.9% in 2025 and 5.9% in 2024. |