Amid ongoing semiconductor industry adjustments, STMicroelectronics’ (STMicro) revised layoff plan has drawn focus. The firm recently pledged no layoffs in Italy—resolving a major controversy and halting prior Italian criticism of its CEO.
Italian Industry Minister Adolfo Urso held key talks in Rome with STMicro and union reps to avoid mass cuts at the firm’s northern Italian Agrate plant. Notably, Italy and France jointly own a 27.5% stake in STMicro, putting their negotiations in the spotlight.
Urso welcomed STMicro’s decision to drop Agrate layoffs and its industrial restart proposal, calling it a “correct, important step.” STMicro will use a voluntary departure scheme instead of layoffs, noted the Agrate plant may expand post-2027 (after feasibility studies), and said no structural changes are planned for other Italian plants.
This follows earlier moves: In April 2024, STMicro announced 1,000 voluntary layoffs at French plants (down from an initial 2,800 via natural attrition), while Italian plant layoff talks advanced. By June, unions said STMicro planned to cut 1,200 Agrate jobs, and Italy’s Economy Minister Giancarlo Giorgetti criticized CEO Jean-Marc Chery—with reports Italy tried to get France’s support to replace him. The two countries have since worked to ease differences.
ICgoodFind：we see STMicro’s adjusted plan as key to stabilizing Europe’s semiconductor industry employment, with its future capacity and market strategies worth watching.
