Intel put a number to its Oregon layoffs Tuesday, notifying the state that it will issue layoff notices to 784 employees in Hillsboro and Aloha by Friday.

That amounts to 4 percent of the company's 19,500 Oregon employees. The job cuts that began Monday are part of a plan Intel announced last week to reduce its total work force by 12,000 jobs as it retools the company to prepare for long-term decline in its core market, the PC business.

Intel is also laying off 565 in California at a research site in Folsom and at its headquarters in Santa Clara, according to documents submitted in that state Monday. It's laying off 560 workers at its large manufacturing site in Chandler, Arizona, too, according to a filing with state officials there.

Layoffs are just one component of Intel's plan to reduce total employment by 11 percent. It's also offering buyouts and an early retirement program to some employees and closing some sites - including a facility in DuPont, Washington, near Olympia. Intel does not appear to be closing any of its Oregon sites.

The Oregonian/OregonLive reported last week, drawing on internal company documents, that Intel expects to lay off 3,561 across the organization -- almost one-third of all its job cuts.

If that math applies evenly across the business Intel will reduce its Oregon work force by roughly 2,000 altogether, including layoffs, buyouts and project cancellations, by the middle of 2017.

Oregon's economy is roaring, with unemployment at a historic low of 4.5 percent. Intel's cutbacks, by themselves, won't disrupt that upward trajectory. But they represent a setback for the state, which relies on Intel's numerous, highly paid employees for a substantial share of Oregon's tax base and economic activity.

Intel is undergoing a profound shift as it remakes the business for the post-PC era. In a blog post Tuesday, Intel chief executive Brian Krzanich described the broad strategic changes under way to refocus Intel in five areas: data centers, connected appliances and smart gadgets, memory technology, high-speed wireless connectivity, and continued advances in microprocessor technologies.

"We will also lead by becoming a company with a broader focus, and with sharper execution," Krzanich wrote. "In doing so, we will create lasting value for our customers, partners and shareholders, and achieve our mission to lead in a smart, connected world."

The company is Oregon's largest private employer and Washington County is its largest site anywhere, home to the company's most advanced research and manufacturing and to many of its top executives.

A report commissioned by Intel found it paid an average Oregon wage of nearly $170,000 in 2012, more than triple the state average. Its Oregon payroll totaled $2.8 billion at the time; the company's work force has grown by 20 percent since then.

Laid-off Intel employees will be paid through the end of May and receive at least six additional weeks of pay and three months of health insurance, according to Intel's notice to the state.

Internal documents reviewed by The Oregonian/OregonLive indicate that laid off employees will receive at least six months of health insurance and 12 weeks of pay, with some long-serving employees receiving more than a year of pay altogether, provided they agree to release the company from legal claims.

Intel selected some employees for layoff based on their performance in the company's rigorous annual review process, called Focal, according to the internal documents. Others appear to be losing their jobs through site closures or project cancellations. Intel has notified laid-off employees that they are not eligible to be re-hired by the company.

Intel is also laying off 565 in California at a research site in Folsom and at its headquarters in Santa Clara, according to documents submitted in that state Monday.

Update: This article has been updated with additional detail about layoffs in Arizona and the comments from Intel's CEO.

-- Mike Rogoway

mrogoway@oregonian.com

503-294-7699

@rogoway