TSMC Arizona, AZBTC unite to bolster chip plant labor

TAIPEI (TVBS News) — Taiwan Semiconductor Manufacturing Co. (TSMC) and the Arizona Building and Construction Trades Council (AZBTC) have established a new framework for collaboration, according to a joint statement released on Wednesday (Dec. 6).

The deal is a significant move to resolve long-standing labor disputes, set to enhance the development of TSMC's semiconductor manufacturing facility in Phoenix, paving the way for increased workforce training, improved safety transparency, and the formation of a quarterly committee to ensure the implementation of these measures.

Both parties reached this accord after months of negotiations. With the creation of the agreement, they anticipate better projection of future labor needs.

TSMC, the world's leading semiconductor manufacturer, has committed a US＄40 billion investment to establish its Arizona production site. The facility broke ground in 2021, initially targeting 2024 for mass production. However, citing a shortage of skilled labor, TSMC moved this target to 2025 in July this year, a delay that has sparked union discontent.

According to the statement, TSMC is committed to hiring locally but will also employ foreign workers with specialized experience as needed.

AZBTC President Aaron Butler called the agreement "a win for Arizona workers and the construction timeline of TSMC Arizona." He added, "AZBTC and TSMC Arizona have shown that when we come together to focus on our workers and developing the skills of the future, our state has much to gain."

TSMC Arizona President Brian Harrison acknowledged that AZBTC is a vital partner to TSMC Arizona in the construction of this leading-edge semiconductor manufacturing facility.

To further address the labor shortage, TSMC has invested US＄15 million in the Arizona Pipe Trades to expand its joint apprenticeship training center and establish a semiconductor manufacturing school for developing the necessary talent to build these high-tech facilities.

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