Micron Semiconductor lays off from four facilities

SINGAPORE - Chip manufacturer Micron Semiconductor Asia is cutting 150 staff, including 30 Singaporeans, across its four facilities here.

The layoffs, which will have been completed by Monday, affect technicians, operators, engineers and some managers.

This latest retrenchment exercise comes on the back of an announcement last week that Japanese chemicals firm ISK will shut its facility in Singapore and axe 195 staff.

Micron employs about 7,500 workers here in its three manufacturing plants and a test and assembly facility.

Mr Lee Kok Choy, country manager for Micron Semiconductor Asia, said: "We are in the process of a transformation of the company, trying to make it more effective.

"As a result of that, we have to reduce the number of workers in the excess jobs."

United States-based Micron Technology is laying off 5 per cent of its workforce globally as part of plans to cut costs and improve efficiency.

The United Workers of Electronics & Electrical Industries (UWEEI) said on Thursday that Micron has "committed to... ensure fair compensation and treatment for the affected employees".

Besides "fulfilling the terms of retrenchment according to industry norms", the company will also pay a year's union membership dues so that affected workers can continue to receive benefits, said UWEEI general secretary Tan Richard.

He added that the company and union are also working to arrange for job placement services with NTUC's e2i (Employment and Employability Institute).

"UWEEI will work with the company to help Singaporean workers take advantage of good job opportunities which may arise as the company improves the overall competitiveness of its Singapore site," he said.

Mr Terence Gan, director for electronics at the Singapore Economic Development Board (EDB), said Singapore continues to be a competitive location for the electronics industry.

He added that Micron will still conduct "significant activities" in Singapore through its wafer fabrication and assembly and test facilities.

"Micron's decision is part of (its) global restructuring plan to strengthen competitiveness by increasing its operational efficiency," he said.

"EDB will work with Micron to help the affected workers find new employment."

chiaym@sph.com.sg

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