US semiconductor company Qualcomm has begun laying off employees in India, with more than 1,000 jobs potentially at risk as part of a global workforce restructuring. Affected employees are also reportedly being offered an additional month's salary if they agree to separation terms within three days.
The reported job cuts began at the company's Bengaluru operations on November 9, with senior engineers and employees with several years of experience among those affected. The exercise is expected to extend to its engineering and research facilities in Hyderabad, Delhi-NCR and Chennai, according to reports by Moneycontrol and The Financial Express.
Qualcomm has not officially disclosed the number of positions it plans to eliminate in India. The estimate of around 1,000 affected employees has also not been confirmed by the company, and reports indicate that the eventual number could be lower.
An additional month's salary for early acceptance
The reported severance terms have drawn attention because they include an additional payment for employees who accept their exit agreements within a short period.
The reported package includes:
Three months' salary as base severance compensation.
Additional compensation linked to the employee's years of service.
One extra month's salary for employees who sign their separation or relieving documents within three days.
Qualcomm has not publicly confirmed these arrangements. The final payout and eligibility conditions may depend on individual separation agreements.
The reported incentive puts a deadline on employees' decisions to accept the terms. However, the available reports do not establish whether the additional payment applies uniformly across all affected employees.
How many jobs could be affected in India?
The scale of the India exercise remains uncertain. Moneycontrol reported that the cuts could affect around 5% to 6% of Qualcomm's estimated 20,000-strong workforce in the country. The figure of more than 1,000 jobs is an estimate rather than an official company announcement.
The initial round reportedly began in Bengaluru, with senior engineers and experienced employees among those receiving notifications. The exercise is expected to reach other major engineering centres, including Hyderabad, Delhi-NCR and Chennai.
India is an important engineering and research base for Qualcomm, with operations supporting its work across wireless technologies, semiconductor design, software and connectivity. The reported reductions therefore extend beyond a single office or business function.
Moneycontrol also reported that Qualcomm did not respond to its queries on the India layoffs. The company has not publicly confirmed the total number of affected employees or the reported severance terms.
A global exercise framed around performance
The India job cuts follow an internal communication issued by Qualcomm CEO Cristiano Amon on October 20. In a memo reviewed by Reuters, Amon described the planned reductions as a "performance-focused reduction" following the company's annual employee reviews.
He said the exercise was intended to strengthen the company's performance culture and address situations where employees had consistently fallen short of expectations. Notifications were expected to begin in November.
Reuters reported that the memo did not specify how many employees would be affected globally. It also said workforce decisions would take account of business priorities, organisational requirements and the skills needed for future growth.
The reported inclusion of experienced engineers in India's layoffs has prompted questions about how the exercise is being implemented. However, the available reporting does not establish the precise criteria used to select individual employees.
Smartphone business faces pressure as Qualcomm pursues new markets
The workforce reduction comes as Qualcomm seeks to diversify beyond its traditional smartphone chip business, while facing pressure in its handset segment.
In its fiscal fourth-quarter results announced in November, Qualcomm reported non-GAAP revenue of $10.32 billion, down 8% year-on-year. Handset revenue fell 26% to $5.14 billion, while automotive revenue increased 89% to $1.99 billion, according to the company's results.
The company has been expanding its focus on automotive technology, connected devices, artificial intelligence and data-centre semiconductors. In its earnings commentary, Amon highlighted strategic agreements with companies including Meta, Amazon, BMW and Stellantis, alongside growth in the company's design-win pipeline.
In the internal memo reported by Reuters, the CEO linked the workforce exercise to changing business priorities and the capabilities required for future growth. The company has not publicly attributed the India layoffs to any single business segment.
What the restructuring signals for employees
The reported India reductions are part of a wider reassessment of Qualcomm's workforce, but the final scale and distribution of the cuts remain unclear. The reported severance offer also places an immediate decision before employees who receive separation agreements.
For India's semiconductor talent market, the developments raise questions about the movement of experienced engineering professionals and the future distribution of specialised roles across major technology centres.
Qualcomm has not confirmed the final number of India job losses, the reported early-exit incentive or whether further rounds will follow. The company's disclosures and subsequent employee notifications will determine how extensively the restructuring affects its Indian operations.
