Chipmakers have invested $231 billion in rebuilding the US semiconductor industry in the past year, encouraged by the implementation of the CHIPS and Science Act. However, concerns are rising regarding the availability of skilled workers to operate these factories once they are operational.

Labor shortages have already impacted the construction of a major project in Phoenix, and a national shortfall of skilled workers could complicate upcoming efforts by Intel, Micron, and other companies across the country.

The workforce issues pose a challenge to the United States’ endeavor to reverse the decline in semiconductor manufacturing and could complicate President Biden’s prospects for re-election. Many ongoing efforts are not sufficiently tackling the problem of obtaining a skilled workforce on time and within budget.

The stakes are high, as the 2022 law aimed to enable the US to compete with China in controlling the supply of crucial semiconductor components. In recent years, all of the world’s most advanced semiconductors have been manufactured overseas.

To address the issue, the Biden administration has allocated $200 million for workforce development. However, it remains uncertain whether this investment will be enough, particularly as the US unemployment rate is already low at 3.6%. Additionally, estimates suggest a future shortage of hundreds of thousands of semiconductor workers by 2030.

In Arizona, where efforts are underway to establish Phoenix as a semiconductor hub, challenges related to the workforce are evident. Taiwan Semiconductor Manufacturing Company (TSMC) is building a fabrication plant in Phoenix, but a worker shortage has caused a delay in the plant’s launch. TSMC is currently importing workers from Taiwan to bridge the gap, with plans to offer training for American workers. Efforts are being made at all levels of government to attract workers to the industry.

While government officials express confidence in the gradual stabilization of the job market, more aggressive measures may be necessary. Possible solutions could include immigration reforms or policies that place greater responsibility on companies for training. These ideas would likely face debate and scrutiny in Washington, but their implementation could be crucial in addressing the workforce shortage and ensuring the success of the revived semiconductor industry in the US.

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