In a desperate attempt to curb costs, Intel has decided that it will freeze every single employee’s salary to try and stay afloat after a large drop in microchip demand (as much as 15% is expected) following the economic meltdown.

The freeze also includes current Intel CEO, Paul Otellini.

“We are in the toughest recession in the history of our industry, and we need to continue to control our costs”

says Intel spokesperson Chuck Mulloy.

This is troubling as in Januray 2009 Intel announced that 6,000 workers would be asked to leave and various research and manufacturing plants are planned for shutdown. Intel is instead choosing to focus on “strategic investment” after announcing a $7 billion plan to improve current plants. According to Chuck Mulloy,

“The investments we’re making are strategic”