Fierce Battle for Semiconductor 'Talent'... CEOs Also Join the Fray

Samsung Electronics President Kyung Kye-hyun Encourages Job Seekers with Online Keynote Speech
Intense Corporate Talent Competition Amid Global Rivalry
Experts Emphasize Need for Systematic and Long-Term Talent Development

[Asia Economy Reporters Hyeyoung Lee and Jinho Kim] As global competition in the semiconductor industry intensifies, domestic companies are also making every effort to diversify their recruitment strategies, prioritizing talent acquisition above all else. While securing talent is the key to gaining industrial leadership, voices are emerging that systematic policy formulation is urgently needed amid worsening chronic labor shortages.

On the 24th, Samsung Electronics held the 'Tech & Career (T&C) Forum' online, where Kyung Kye-hyun, President of the Device Solutions Division (DS), took the stage to deliver a keynote speech aimed at winning over job seekers. This forum is a recruitment briefing session held ahead of the 2022 first half open recruitment for new employees scheduled for next month.

Kyung, who was appointed head of the DS division in last year's year-end personnel reshuffle, utilized his unique communication skills to focus for 30 minutes on promoting Samsung Electronics' appeal to job seekers and students. He shared tips on the growth potential of the semiconductor business and organizational life, repeatedly emphasizing that the most important aspect of corporate management is 'people,' and stated that the company will concentrate its capabilities on securing outstanding talent.

Having reclaimed the semiconductor throne by achieving the world's top semiconductor sales last year, Samsung Electronics has announced large-scale facility and research and development (R&D) investments this year to maintain its leadership. Samsung views securing excellent talent both domestically and globally as the key to realizing this goal.

Samsung plans to hire 40,000 people over the next three years, with about 10,000 of them employed mainly in advanced industries. It will select a large number of talents in new growth engine businesses such as system semiconductors and bio sectors. Samsung Electronics, currently recruiting experienced professionals for the DS division, will begin large-scale recruitment of new employees in earnest starting next month.

(Photo by SK Hynix)

As companies increase hiring in industries identified as future growth engines, the competition for talent is expected to accelerate further.

SK Hynix, which must compete with Samsung Electronics for semiconductor personnel, has already started recruiting new graduates and experienced professionals this month. SK Hynix, which hires around 1,000 people annually, currently faces high personnel demand due to the construction of the Yongin Semiconductor Cluster in the first half of this year, the full-scale operation of the Icheon M16 fab, and the launch of Solidigm, a NAND division subsidiary.

At the 2021 earnings conference call held last month, Jongwon Noh, Head of Business, mentioned, "To prepare for future growth engines, we will expand the scale of recruitment this year compared to previous years." It is unusual to mention hiring during an earnings announcement, indicating how focused SK Hynix is on talent acquisition.

Samsung Electronics and SK Hynix, which both achieved record-high performances last year, also competed in terms of performance bonuses and incentives, engaging in a pride contest to secure talent. The industry is increasing communication channels and content using platforms like YouTube to enhance accessibility to the MZ generation, aiming to appeal to those in their 20s and 30s.

A semiconductor industry insider said, "Because the market is good, there is always a shortage of personnel, and each company is deeply concerned about securing excellent talent," adding, "Since investments will continue, personnel demand is expected to increase further."

The competition for talent in the semiconductor industry is expected to intensify not only domestically but also overseas. Intel, which has declared its re-entry into foundry (semiconductor contract manufacturing), and Taiwan's TSMC have both started large-scale talent acquisition as the 'money war' becomes visible. TSMC, the world's number one foundry, forecasts hiring more than 8,000 people this year and plans to absorb a large number of global talents, while Intel is also expected to continue bold recruitment and appointments.

"Talent Acquisition Must Be Established Long-Term and Systematically"

With governments in the US, China, Europe, and Taiwan supporting talent acquisition, voices are emerging that Korea also urgently needs institutional support.

On this day, Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki announced a comprehensive semiconductor development strategy, promising to "intensively nurture 3,600 undergraduate semiconductor specialized course students (by 2024) and 16,440 field personnel (by 2028), focusing on core semiconductor talent."

Lee Jung-bae, President of Samsung Electronics and Chairman of the Semiconductor Industry Association (left), and Lee Seok-hee, President of SK Hynix (second from left), along with other semiconductor company representatives, are listening to remarks by Moon Seung-wook, Minister of Trade, Industry and Energy, at a corporate meeting to promote semiconductor investment held on the afternoon of the 16th at Lotte Hotel in Jung-gu, Seoul.
[Image source=Yonhap News]

As the industry continues to complain about chronic labor shortages, the government has begun seeking alternatives, but there are calls for more systematic and prompt support. Experts unanimously agree that more proactive support measures are needed to resolve the semiconductor industry's chronic labor shortage. Considering the industry's characteristics, which make it difficult to cultivate excellent talent in a short period, they pointed out that strategies must be established with a more long-term perspective.

Professor Jongho Lee of Seoul National University and Director of the Semiconductor Joint Research Center said, "To cultivate competitive and excellent talent, it is necessary to establish a good strategy," adding, "Since the semiconductor industry requires a lot of study and accumulation of knowledge, it is necessary to nurture people who can create a so-called super-gap."

Professor Lee particularly noted the need for supplementary measures regarding the industry's demand to increase semiconductor-related departments in metropolitan universities, which was excluded from the Semiconductor Special Act. He said, "If the metropolitan area is not possible, it would have been good if the special act included ways to nurture good talent in provincial areas," emphasizing, "Efforts are needed to nurture excellent talent in provincial areas, from improving education quality to supporting laboratories."

Seongcheol Kang, Research Fellow at the Korea Semiconductor Display Technology Society, said, "Specialized talent cultivation is most important, but this content was not sufficiently reflected in the special act," adding, "Global advanced countries are directly supporting these aspects to dominate semiconductor supremacy, so we also need a more proactive attitude."

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