About 60 of the 560 Utah workers at National Semiconductor, based in Santa Clara, Calif., could lose their jobs as a result of restructuring, a spokeswoman said.
Coni Judge, the company's Utah communications director, said Tuesday that the downsizing is a result of the company's June 20 decision to spin off its memory and logic chips business into Fairchild Semiconductor, a wholly owned subsidiary.The West Jordan plant became part of the new subsidiary, which has headquarters in South Portland, Maine.
Judge said cost-saving plans dictate that the work force be cut about 10 percent as part of the restructuring. Employees most affected will be those who work in new product design.
Judge said some may move to similar positions within National Semiconductor.
In announcing the restructuring, Brian Halla, chairman, president and chief executive officer, said it will allow the remaining three divisions to focus on the design, production and marketing of more profitable analog and mixed-signal products that are considered to be subject to less competition.
Hall said last month that National Semiconductor would "engage investment bankers to facilitate the identification of financing for the new entity."
Judge said there has been no announcement about a possible sale of Fairchild, but, "nothing is out of the realm of possibility."
About half of the West Jordan plant's business is in memory chips and the other half is in analog products.