TSMC Faces Opposition from US Union over Taiwanese Workers

TSMC (TSM), the world’s largest contract chipmaker and a key supplier for Apple (AAPL), is facing opposition from a US union over its plan to bring in hundreds of Taiwanese workers for its Arizona plant. The union has launched a petition to block the visas for the foreign workers, saying that they would take away jobs from American workers.

TSMC’s Arizona Plant: A Strategic Move

TSMC announced its plan to build a $12 billion chip plant in Arizona in 2020, as part of its strategy to expand its global presence and reduce its reliance on Taiwan. The plant, which is expected to start production in 2024, will make 5-nanometer chips, which are used for advanced devices such as iPhones and iPads.

The plant is also seen as a response to the US government’s pressure on TSMC and other chipmakers to increase their domestic production, amid the global chip shortage and the US-China trade war. The US government has offered subsidies and incentives for chipmakers to invest in the US, through the CHIPS Act, a $50 billion program to boost the US semiconductor industry.

TSMC Faces Opposition from US Union over Taiwanese Workers
TSMC Faces Opposition from US Union over Taiwanese Workers

TSMC has said that the Arizona plant will create more than 1,600 high-tech jobs and thousands of indirect jobs in the US. The company has also said that it will cooperate with local universities and colleges to train and recruit talent.

TSMC’s Taiwanese Workers: A Controversial Plan

However, TSMC’s plan to bring in about 500 Taiwanese workers for the construction and operation of the Arizona plant has sparked controversy and criticism from a US union. The union, Arizona Pipe Trades 469, has started a petition to urge the US senators and members of Congress to deny the EB-2 visas that TSMC has requested for the foreign workers.

The union said that the EB-2 visas are intended for workers with “exceptional ability” in the sciences, arts, or business, which would justify their employment over a US worker. The union argued that TSMC’s Taiwanese workers do not meet this criterion, and that there are plenty of qualified and experienced American workers who can do the job.

The union also said that TSMC’s plan to bring in Taiwanese workers contradicts the purpose of the CHIPS Act, which is to create jobs for American workers. The union accused TSMC of showing a lack of respect for American workers, placing profit above worker safety, and deliberately misrepresenting the quality, skills, and experience of Arizona’s workforce.

The union’s petition has received more than 1,000 signatures so far. The union said that it hopes to get the attention and support of the US government and the public, and to stop TSMC from replacing American workers with foreign workers.

TSMC’s Response: A Defense of Its Plan

TSMC has defended its plan to bring in Taiwanese workers, saying that it is necessary and beneficial for the Arizona plant. The company said that the Taiwanese workers have specialized skills and expertise in building and operating advanced chip plants, which are not readily available in the US market.

The company also said that the Taiwanese workers will only stay in Arizona temporarily, for about two years, until the plant is fully operational. The company said that it will gradually transfer the knowledge and skills to the local workers, who will eventually take over the management and operation of the plant.

The company also said that it respects and values American workers, and that it will comply with all applicable laws and regulations regarding labor and immigration. The company said that it is committed to contributing to the US economy and society through its investment in Arizona.

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