China Financial Daily

SMIC layoffs: It is said that SMIC in April would lay off 10% of employees
News on March 10, 2010: according to Taiwan media reports, the new chief operating officer of SMIC, Yang Shining takes office for one month, the recent issue of the internal operation of manufacture of a peer, “streamlining” of the e-mail, immediately came SMIC layoffs will be implemented in April although layoffs are expected as 10%.

SMIC and TSMC in November last year, settlement of litigation, executive director of the former president of Applied Materials Asia, Dr. Wang will take over, in February of this year, Dr. Wang will return to Singapore’s Chartered Semiconductor Manufacturing has served in appointed chief technology officer Yang Shining, quarter grams of non-served SMIC chief operating officer and sales chief, immediately came to be through layoffs and streamlining the internal organization to enhance operational efficiency.

Yang Shining former director of Intel’s global R & D more than a decade, after being hired as SMIC SMIC founder Richard Chang, is the beginning of SMIC’s senior management team set up within the ranks of the highest in mainland China are returnees.

Yang Shining Hui Guo SMIC has been a month and he recently sent a letter to colleagues on the operation of wafer description of the “streamlining” plan, hoping to eliminate colleagues uneasy.

Yang Shining said that “streamlining” is the normal performance management an integral part. “Fine” is the grass-roots SMIC engineers and manufacturing sectors (MA); “simple” refers to the upper management.

Yang Shining said, “streamlining” is to keep both honest and capable employees, as well as to enhance our team’s quality and combat effectiveness, but also to support the company’s rapid development, so that hard-working employees receive due rewards.

He went on to show that this streamlining of the order will be top-down, that is, adjusting the upper management team, and then adjust the grassroots level staff, there will not be a result of geographical differences between the ability to color differences in a fair and reasonable adjustment would also maximum exclusion of nepotism and human effects of hope is both able and hard-working employees can eliminate unnecessary worry and peace of mind to put the right thing to do right (Focus on Doing the Right Things Right).

SMIC internal rumors, this wave of streamlining the program will begin in April, although layoffs are expected as the proportion of a first object of the impact of more than 45 senior staff, these employees may be the first to streamline the completion of the first step through the retirement plan is expected to on the 16th of this month to submit the list of various departments.

10000 SMIC staff, speaking yesterday on the importance of streamlining the system program, said the program still under study, yet there are practical modalities for the implementation and timetable.

SMIC set aside in the fourth quarter due to litigation costs, after-tax loss increased to 482 million, but chief executive Dr. Wang hopes SMIC SMIC this year, annual revenue growth of more than 20%, better than the performance of this year, the world’s wafer foundry, SMIC also said profit this year is the key year.