America's chip boom faces big challenge: Not enough workers

Industry may face shortfall of 70,000 to 90,000 over next few years, says Deloitte

WASHINGTON - Mr Maxon Wille, an 18-year-old in Surprise, Arizona, was driving towards Interstate 17 in 2022 when he noticed a massive construction site: Taiwan Semiconductor Manufacturing Co, at work on its new factory in Phoenix.

A few weeks later, as he was watching YouTube, an advertisement popped up for a local community college's 10-day programme that trains people to become semiconductor technicians. He graduated from the course in May and now hopes to work at the plant once it opens.

"I can see this being the next big thing," Mr Wille said.

Chip manufacturers say they will need to attract more workers like Mr Wille to staff the plants that are being built across the United States. America is on the cusp of a semiconductor manufacturing boom, strengthened by billions of dollars that the federal government is funnelling into the sector. President Joe Biden had said the funding will create thousands of well-paying jobs, but one question looms large: Will there be enough workers to fill them?

"My biggest fear is investing in all this infrastructure and not having the people to work there," said Ms Shari Liss, the executive director of the Semi Foundation, a nonprofit arm of Semi, an association that represents electronics manufacturing companies.

Lawmakers passed the 2022 Chips Act with lofty ambitions to remake the US into a semiconductor powerhouse, in part to reduce America's reliance on foreign nations. The law included US$39 billion (S$52.5 billion) to fund the construction of new and expanded semiconductor facilities.

More than 50 new facility projects have been announced since the Chips Act was introduced, and private companies have pledged more than US$210 billion in investments, according to the Semiconductor Industry Association.

But that investment has run headfirst into the tightest labour market in years.