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|    can.infohighway    |    Bahahaha "I'm surfin' the net!"    |    88 messages    |
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|    Message 74 of 88    |
|    Mike Broussard to All    |
|    Intel will close Mass. plant, cut 700 jo    |
|    21 Sep 13 13:02:11    |
      XPost: alt.society.labor-unions, oh.chem, japan.town.yokohama       XPost: blgtn.education       From: mbroussard@yourname.here              The brainless Obama administration will call this a victory and       progress.              The world’s leading maker of computer chips is closing its only       factory in Massachusetts, eliminating up to 700 high-paying       manufacturing jobs in one of the largest job cuts to hit the       state in recent years.              Intel Corp. said on Thursday that its plant in Hudson is using       outdated technology to make older generations of computer chips       used in low-end applications, which do not generate as much       profit as its higher-end microprocessors that are used in PCs.              “The facility and the site do not meet the requirements that we       need,” said Intel spokesman Chuck Mulloy.              The Hudson closing is a blow to manufacturing in the state,       which has undergone decades of downsizing to re-emerge as a       smaller but still highly competitive industry.              High-tech manufacturing accounts for nearly one in every three       factory jobs in Massachusetts, and many of those pay high wages       — $80,000 a year or more, according to a recent Northeastern       University report on the sector. And the Intel jobs would be at       the higher end of the industry scale.              “In terms of these people and their families, and the town of       Hudson, this is a major blow,” said the author of the       Northeastern report, economist Barry Bluestone, who noted that       overall job growth in Massachusetts has slowed in recent months.       “These workers who lose their jobs will not have an easy time       finding a job somewhere else.”              The plant closure also represents a setback to Governor Deval       Patrick’s major effort to build up manufacturing in       Massachusetts by supporting companies that produce sophisticated       products that are less prone to competition from low-cost       operators overseas. Until recently, manufacturing employment had       been stable in Massachusetts, with pockets of employers adding       jobs and some companies even complaining they were having       trouble finding qualified applicants to replace retiring workers.              The Patrick administration Thursday pledged to help any laid-off       Intel workers find jobs.              “While we are obviously disappointed by today’s news, we know       that our manufacturing industry is on the rise in Massachusetts       and will continue to play a significant role in the success of       our economy,” said Gregory Bialecki, the state’s economic       development chief.              Bluestone agreed that even though the 700 jobs are a big loss,       the manufacturing industry in Massachusetts is not facing       another period of contraction.              “Just because Intel is closing a shop doesn’t mean that we’re       turning into Detroit here,” said Bluestone.              Intel said it plans to close the Hudson facility by the end of       2014 but hopes to soften the blow by trying to find another       technology company that would buy the plant and continue making       chips there.              The company also operates a research and development facility in       Hudson employing additional 850 workers. It will not be affected       by the job cuts.              Home of former governor A. Paul Cellucci, Hudson is a former       mill town that in the 19th century attracted waves of immigrants       to work in its many shoe factories. In more recent years, it       prospered as the early computer industry grew up in suburban       Massachusetts around the old Digital Equipment Corp., based in       nearby Maynard.              The Intel plant was built in 1994 by Digital in its waning days       for $425 million to produce its highly touted Alpha chip, one of       the now-defunct company’s last-gasp efforts to keep up with a       rapidly changing computer industry. Though more powerful than       the best Intel processors of the era, Alpha failed to win       converts among computer makers because it was incompatible with       many common software programs.              The failure of the Alpha led to Digital’s exit from the       chipmaking business, and Digital sold the Hudson plant and       related properties to Intel in 1997 for $700 million. Digital       itself was acquired by Compaq a year later, ending a 40-year run       as one of the most storied names in the computer industry.              And now the Hudson’s factory run itself appears to be over.       Known in the computer world as a “fab,” short for fabrication,       the Hudson factory uses chip-making technology that’s more than       a decade old, putting it four generations behind the equipment       used in Intel’s more advanced factories. As a result, chips from       the Hudson plant are used in automotive entertainment systems,       factory automation equipment, and other relatively low-end       applications.              The Hudson plant does not produce Intel’s better-known and more       lucrative microprocessors, such as the Core, Xeon, and Atom       chips.              Mulloy, the Intel spokesman, said that bringing the Hudson plant       up to date would require building a facility twice its size and       that the lack of available land made this impossible.              “It’s not any reflection on the workforce there. It’s not any       reflection on the state of Massachusetts,” he said.              Nathan Brookwood, a chip industry analyst for research firm       Insight 64 in Saratoga, Calif., said that among Intel chip       factories, “the Hudson facility was always the odd man out.”              Intel designs its chip plants from the ground up to be identical       to one another, so that each can produce any chip in the       company’s inventory he said; by contrast, it acquired the Hudson       plant after it was built and it has never fully complied with       Intel’s standards. Brookwood added that Intel normally builds       new plants alongside its obsolete facilities but that the lack       of open land made it more logical to simply close the Hudson fab.              Municipal officials in Hudson were hopeful that Intel would make       good on its promise to find a buyer who would keep it open as a       factory, even if it is full of obsolete equipment.              “They have some of the best real estate people, and they’re       going to try to market the portion of the facility that’s       shutting down to get the best value that they can,” said       Christopher Sandini, the interim executive assistant for Hudson.              Intel said its current plan involves laying off about 100       workers over the next three to four months, with the remainder       of the workforce staying on until the plant is closed. These       workers will be offered a severance package and given two months       to find other jobs at Intel.              Mulloy said the plant will run near full capacity until it is       closed, in order to fill existing orders and to build       inventories of obsolete chips that will no longer be made once       the Hudson plant is shut down.              http://www.bostonglobe.com/metro/2013/09/12/intel-close-hudson-       plant-lay-off/wBpsOao3dJp6wbHxgcTmiO/story.html                             --- SoupGate-Win32 v1.05        * Origin: you cannot sedate... all the things you hate (1:229/2)    |
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