Labor Shortage Threatens Chipmakers' Plans for New US Factories

Chipmakers such as Intel and TSMC have invested $231 billion in new US factories, but they are facing a shortage of skilled workers to operate them. Labor shortages have already impacted the construction of a major project in Phoenix, and a national shortfall could complicate efforts by other chipmakers in Ohio, New York, Texas, and Utah. The workforce issue poses a challenge to the US semiconductor industry's efforts to reverse its decline and could complicate President Biden's case for re-election. The Biden administration has allocated $200 million for workforce development, but estimates suggest a shortfall of hundreds of thousands of semiconductor workers by 2030. The possibility of a labor shortage may prompt discussions on immigration and policies that place more responsibility on companies for training.