ON Semi cuts 250 jobs

ON Semi cuts 250 jobs

SAN FRANCISCO—ON Semiconductor Corp. said Wednesday (Aug. 22) it would eliminate about 250 jobs as part of a previously disclosed plan to reduce costs.

ON Semi (Phoenix) said in a regulatory filing that most of the job cuts would be complete by the end of the third quarter. The company said it expects to incur severance and related costs of between $11 million and $14 million in the third quarter.

In another cost-cutting move, ON Semi said it cancelled its annual cash bonuses for senior executives. The company said it cancelled the cash incentive program as part of a number of cost-cutting measures designed to bring spending in line with revenue projections in light of a sluggish macroeconomic environment and conservative order trends from customers.

ON SEMI said earlier this month that it planned to cut an unspecified number of jobs as part of a plan to save the company between $10 million and $15 million per year.

In the second quarter, ON Semi cut 10 percent of jobs from its Sanyo Semiconductor division, which was acquired in 2011. ON Semi last year announced plans to close three fabs in Japan and two back-end test and assembly facilities in Thailand. The fab closures are taking place this year, while the back-end facilities never reopened after being damaged during the Thai floods in 2011.

According to ON Semi's website, the company has about 20,000 employees worldwide.

Related stories:
  • ON Semi plans more job cuts
  • TriQuint Semi cuts jobs
  • Google cutting 20% of jobs at Motorola Mobility
  • ON Semi's CFO resigns

PreviousADI’s Fishman remains bullish despite economic uncertainty
Next    UMC to shutter Japanese fab