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NVIDIA will provide severance packages, counseling and job placement for employees let go

NVIDIA is having a rough time with woes coming from its stock price to its products having stiffer competition in the marketplace from the likes of AMD. NVIDIA announced yesterday that it would be decreasing its work force by over 6.5% in an attempt to save money that it can put towards other areas.

The work force reduction amounts to about 360 employees from its worldwide work force. NVIDIA employees in the U.S. are affected as well.

NVIDIA also announced that it will take a restructuring charge of between $7 and $10 million in its Q3 financial results. The charge will be used to fund severance packages and related expenses.

NVIDIA CEO Jen-Hsun Huang said in a statement, "Our action today is difficult, but necessary considering current business realities. Despite our reduction, we will continue to invest in selective high-growth opportunities like our revolutionary CUDA parallel computing technology and our Tegra mobile single-chip computer. We are taking fast action to enhance our competitive position and restore our financial performance. All of us at NVIDIA are determined to emerge from these challenges an even stronger company."

NVIDIA says that it will provide not only severance packages to affected employees, but it will also provide counseling and job placement services as well. Layoffs at NVIDIA are expected to be complete by the end of Q3.

NVIDIA has more than layoffs on its plate right now. It is fighting a pair of proposed class action lawsuits over whether or not it mislead investors about the potential consequences of GPUs in its notebook products that failed at higher than normal  rates. NVIDIA announced in July that it would take a onetime charge of $150 to $200 million related to expenses and replacements of the GPUs that failed.

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RE: NVIDIA finally getting its just desserts
By rudolphna on 9/19/2008 1:37:35 PM , Rating: -1
Wow im sorry. NOT. Its life, get over it. It happens. Id be more worried about the thousands and thousands of people being laid off by Ford, GM and Chrysler. Things happen. If AMD goes out of buisnes... tens of thousands of people will lsoe their jobs, as opposed to 360 people from NVIDIA.

RE: NVIDIA finally getting its just desserts
By allnighter on 9/19/2008 3:42:24 PM , Rating: 3
wow, just wow. I don't believe in harsh language over the internet but you bro are a retard.
Losing a job is a miserable event for anyone. Your argument is stupid. You probably haven't experienced such a thing yourself but with the kind of intellect you're displaying here, I'd say you don't have to worry about anything. There will always be some kind of burger flipping work to be found.

By rudolphna on 9/19/2008 7:14:20 PM , Rating: 2
Im not denying that its horrible that ANYONe had to lose their jobs. I feel soryr for them, but we all know it happens, and there is little we can do about it. Ive heard people say how they dont care if AMD, Ford, GM go out of buisness. They dont think about the hundreds of thousands of people that will lose their jobs, if such a thing happened. I feel for them, but in the grand scheme of things, we should be glad it wasnt more, like Dell, HP are laying off.

"Paying an extra $500 for a computer in this environment -- same piece of hardware -- paying $500 more to get a logo on it? I think that's a more challenging proposition for the average person than it used to be." -- Steve Ballmer

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