Wacker Realignment Will Reduce Jobs

Wacker Chemie is making changes in its silicon wafer and silicones businesses that will eliminate nearly 800 jobs by the end of 2010. The German company has around 15,000 employees overall. In its Siltronic semiconductor wafer business, Wacker will focus its sites on individual wafer sizes. Its Burghausen, Germany, plant, for example, will make only 150-mm wafers. The move will result in an asset impairment charge of about $165 million. Changes in silicones include cost reductions and improved plant utilization. Wacker says its goal is to avoid layoffs via severance packages, semiretirement, and hiring in its growing polysilicon business.