Pros
One of the best reasons to work at AMD is the people and the core projects. AMD is developing cutting edge CPU and GPU products that are very competitive in the market place. You will work with some very smart people and have a good time doing so. Its nice when a project you worked so hard on makes it into the hands of millions of people and you know you played a part in the success. However, thats about where it ends. AMD is going through some very tough times financially where some of it is due to bad economic times, lack of execution on some key CPU products, and the acquisition of ATI. Due to this employees are hit with cut-backs such as 10% salary cuts, no promotions, bonuses, etc. These are temporary and many successful companies have gone through these kinds of cut-backs including Intel. However, the senior leadership seems to be making some good choices about how to manage this. For example, they are executing very well on an initiative called Asset Lite and have been selling off non-core businesses and have started a new company to run the fabs. These initiatives are helping to reduce the overall debt and keep more people with jobs.
Cons
AMD is not doing well financially and this trickles down to the employees such as 10% salary cuts, no match on 401k, etc. Also, the health care benefits suck.