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Utahns lose jobs at Texas Instruments after it snagged up to $1.6B in federal CHIPS Act funding

The layoffs are among the changes needed to support long-term operations, a company spokesperson said.

(Bethany Baker  |  The Salt Lake Tribune) The Texas Instruments facility is seen in Lehi on Wednesday, March 12, 2025.

(Bethany Baker | The Salt Lake Tribune) The Texas Instruments facility is seen in Lehi on Wednesday, March 12, 2025.

Three months after Texas Instruments celebrated an award of up to $1.61 billion in federal money to help it build semiconductor factories — including its second plant in Utah — the company laid off workers at its existing facility in Lehi.

The layoffs were part of changes meant to “efficiently support our long-term operational plans,” which include eliminating some roles at the site in Lehi off Timpanogos Highway, the company said in an emailed statement Friday.

TI did not say how many employees were laid off but indicated the number was below the threshold for a Worker Adjustment and Retraining Notification Act, or WARN Act, notice. The federal law generally requires employers to give 60 days’ notice before a mass layoff, plant closure or relocation.

“While we can’t share the number of employees impacted, we can share that it didn’t meet the threshold for a WARN Notice — well less than 33% of the workforce was impacted,” the company said in a statement.

Texas Instruments designs and makes semiconductors that it sells to electronics designers and manufacturers all over the world. The company is headquartered in Dallas but has design, manufacturing, and sales operations in more than 30 countries with around 33,000 employees worldwide.

(Christopher Cherrington | The Salt Lake Tribune)

TI acquired the Lehi campus from Micron Technology for $900 million in 2021. It employed 1,100 people there as of a February 2023 announcement that the company planned to build a second 300-millimeter semiconductor wafer fabrication plant in Lehi and operate the two fabs as one.

As part of an agreement with the state for tax credits, TI said it plans to add 800 new, high-tech jobs and invest $11 billion in Utah.

At a November 2023 groundbreaking, Gov. Spencer Cox called the expansion the “greatest single economic investment in Utah history.”

The Dallas-based manufacturer also snagged federal funding for the new plant in the final weeks of the Biden administration. The Department of Commerce announced it had awarded Texas Instruments up to $1.61 billion under the CHIPS Act to support the construction of three state-of-the-art facilities, including two in Texas.

The company said the money, which will be released as it hits project milestones, also will support the construction of a cleanroom and tool installations at the new Lehi plant. The building plans for the plant are still moving through the city of Lehi’s approval process, city records show.

(Bethany Baker | The Salt Lake Tribune) The Texas Instruments facility is seen in Lehi on Wednesday, March 12, 2025.

Jeanteil Livingston, the city’s communications manager, said multiple technology companies had layoffs a few years ago and “kind of said the same thing about organizational changes.” None of them have shut their doors completely, she said.

“We don’t know Texas Instruments’ future plans or exactly what adjustments needed to be made,” she said. “We as the city have to trust that these companies know what they’re doing when they say they’re making needed adjustments.”

The statement from Texas Instruments did not cite a reason for the reorganization, but the company reported declining sales at the end of last year and forecast another drop in the first three months of 2025.

Texas Instruments has not changed its plans to remain in Utah long-term and build the second fab, the company said in the statement emailed Friday.

“Utah continues to be an important part of our manufacturing footprint and company strategy, as we build the geopolitically dependable capacity our customers will need for decades to come,” the statement reads.

Meanwhile, Lehi remains a “city of opportunity,” Livingston said, and officials hope those laid off from Texas Instruments can find opportunities at other companies in Lehi.

This is a developing story and will be updated. If you have been affected by the Texas Instruments layoffs and are willing to speak with a reporter, please email Megan Banta at mbanta@sltrib.com.


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