Possibility of 350 permanent layoffs looming at LA Semiconductor in Pocatello

POCATELLO — Up to 350 jobs at Pocatello’s LA Semiconductor facility could be permanently terminated in April.

Additionally, Strauss Borrelli PLLC, a class-action law firm from Illinois, recently announced it is investigating the company following reports of a potential mass layoff at the plant on Buckskin Road.

Earlier reports of a possible sale

Last September, LA Semiconductor announced it had hired Macquarie Group to oversee the marketing and sale of its Pocatello facility through a court-approved process, citing legal issues between LA Semiconductor and its former owner, On Semiconductor.

RELATED: LA Semiconductor addresses rumors, says Pocatello facility sale not a done deal

In January, EastIdahoNews.com received several tips claiming the facility had been sold and warning of potential layoffs. At that time, EastIdahoNews.com spoke to Pat Sedlmayer, LA Semiconductor’s vice president of product marketing and general manager, for clarification.

While Sedlmayer said he was limited in what he could disclose due to ongoing litigation, he confirmed the facility had not been sold, though a letter of intent from a potential buyer was under consideration.

“We believe, as this process continues, it will be a positive move for the community and the state,” Sedlmayer said. “Demand for onshoring semiconductor manufacturing in the United States remains strong.”

“It’s our hope that as things move forward, we can keep the jobs we have, with the opportunity to add more, as semiconductors continue to make an impact and remain in Pocatello,” he added.

WARN notice signals possible closure

According to Strauss Borrelli, LA Semiconductor notified the Idaho Department of Labor on Feb. 9, 2026, that it may conduct a mass layoff at its Pocatello facility.

The notice was issued under the federal Worker Adjustment and Retraining Notification Act (WARN), which requires large employers to provide at least 60 days’ advance notice of major layoffs or plant closures.

EastIdahoNews.com obtained a copy of the WARN notice through a public records request from the Idaho Department of Labor.

In summary, it says that a court-appointed receiver is currently overseeing efforts to sell the facility. LA Semiconductor states that if a buyer cannot be secured, it plans to wind down operations of the Pocatello facility and permanently lay off about 350 employees by April 10, 2026.

Some employees may be retained temporarily to assist with the facility’s closure.

Why an investigation?

Strauss Borrelli says in its release that it is examining whether the company complied with federal notification requirements. Employers who violate the law may be required to provide back pay and benefits for the period of insufficient notice.

“We are investigating whether LA Semiconductor failed to provide at least 60 days’ notice before laying off employees and therefore violated the WARN Act,” the firm said in a statement.

The law firm claims that none of the affected workers are represented by a union, and there are no transfer options to other company locations.

“As a result, we believe LA Semiconductor employees may be entitled to 60 days of severance pay and benefits,” the law firm stated.

EastIdahoNews.com repeatedly reached out to Sedlmayer and LA Semiconductor Human Resources Director Jim Spears for comment on the status of the sale, the WARN notice, and potential layoffs, but did not receive a response.

Founded in 2021, LA Semiconductor operates a semiconductor fabrication plant in Pocatello, producing analog, digital, and mixed-signal chips. The company acquired the facility from ON Semiconductor in October 2022, positioning it as a U.S.-based contract manufacturing site.

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