"US Semiconductor Workforce May Be Short by 300,000"

Samsung and others attracted investment to secure semiconductor supply chains, but workforce issues hinder progress
US companies lobby government to secure overseas talent

[Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] Although the U.S. government has made efforts to attract semiconductor manufacturing facilities domestically and achieved some results, solving the labor shortage has emerged as a serious challenge, reported The Wall Street Journal (WSJ) on the 2nd (local time).

WSJ analyzed that the semiconductor industry needs to hire an additional 70,000 to 90,000 workers in the U.S. alone by 2025, sounding the 'alarm bell' on the labor shortage crisis.

The labor shortage in the semiconductor industry spans all sectors. Not only Samsung Electronics but also Intel and Taiwan's TSMC are expanding their facilities in the U.S. There is a massive need for engineers who design semiconductors or manage finished product production, as well as personnel who manufacture semiconductor equipment. Even though the semiconductor field is more automated compared to other industries, it is difficult to start operations without sufficient specialized personnel.

According to analysis by the workforce management company Eightfold, about 70,000 to 90,000 semiconductor workers will be needed in the U.S. by 2025. Eightfold identified that securing the semiconductor supply chain promoted by the U.S. government requires a workforce of up to 300,000 people.

David Rieder, Chief Financial Officer of GlobalFoundries, warned, "The U.S. semiconductor sector will clearly face the greatest difficulties in the overall employment market."

The situation is no different for ASML, the sole producer of extreme ultraviolet (EUV) lithography equipment essential for introducing cutting-edge fine processes. Samsung Electronics and TSMC rely on this company's equipment, but Senior Vice President Jim Koonman explained, "We are also engaged in a war to secure talent." ASML reports that it needs to increase its workforce by more than 10% annually.

The shortage of semiconductor experts is a global phenomenon. Taiwan, home to the foundry leader TSMC, was estimated to have a shortage of 27,700 workers as of August last year. China’s semiconductor workforce has doubled over the past five years, but it still faces a shortage of 250,000 workers.

Securing semiconductor-related personnel is difficult to resolve in the short term. This is because the number of students studying semiconductor engineering has decreased compared to computer engineering. At the Rochester Institute of Technology (RIT) in New York, only 10 undergraduate students major in electronic engineering. In the mid-1980s, when local semiconductor companies like IBM had high labor demand, the number of electronic engineering majors reached 50.

WSJ reported that calls for the U.S. government to secure semiconductor talent are spreading. U.S. semiconductor companies have launched legislative lobbying efforts urging the government to allow the recruitment of foreign workers, as the number of international students majoring in semiconductors has increased.

This content was produced with the assistance of AI translation services.