“Why Intel’s $152 Billion Stock Buybacks and $8 Billion Subsidy are Raising Eyebrows”

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– Intel, America’s largest chip maker, received an $8.5 billion grant and $11 billion in favourable loans from the federal CHIPS and Science Act.
– The company has spent $152 billion on stock buybacks since 1990, diverting revenue that could have been used for R&D, building facilities, and worker compensation.
– Stock buybacks create profits for top stockholders and corporate executives, including Intel CEO Pat Gelsinger who made $179 million in 2021.
– Loopholes in legislation allow companies to use CHIPS funds for buybacks, despite the prohibition.
– Intel could still conduct layoffs, as evidenced by laying off 2,000 employees in California while the CHIPS Act was going through Congress.
– The article argues for government regulation to prevent corporations from conducting compulsory layoffs if they receive taxpayer funding.
– German workers used their power to persuade Siemens management to agree to no forced layoffs, in contrast to the US where all 1,700 workers lost their job.
– The article concludes by urging the expansion of labor unions and building a powerful mass movement to resist corporate influence and demand accountability.
– The piece calls for reader support of independent and reader-funded media outlets like Common Dreams.


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