The passing of the CHIPS and Science Act last year is helping to increase U.S.-based semiconductor manufacturing but according to a new report from the Semiconductor Industry Association if action is not taken to strengthen semiconductor engineering talent, a potential 67,000 jobs are at risk.
According to a new study by the SIA, the semiconductor workforce in the U.S. — comprising of engineers, technicians and computer scientists — is forecast to grow by nearly 115,000 jobs by 2030. Growing from 345,000 jobs today to about 460,000 jobs by the end of the decade.
This growth will come from new semiconductor fabs and the expansion of current fabs and facilities already in production during this timeframe. The new fabs are coming in large part due to the enactment of the CHIPS Act in 2022, which is designed to help expand domestic semiconductor manufacturing, diversify supply chain and make it more resilient.
However, the 67,000 shortfall of workers is at risk unless action including:
- Strengthening regional partnerships and programs to grow skilled chip workers.
- Grow domestic STEM pipeline for engineers and computer scientists.
- Retain and attract international degree students in the U.S. economy.
“Semiconductor workers are the driving force behind growth and innovation in the chip industry and throughout the U.S. economy,” said Matt Johnson, president and CEO of Silicon Labs and SIA board chair. “Effective government-industry collaboration can overcome the talent shortage facing our industry, build the strongest American tech workforce possible, and unleash the full potential of semiconductor innovation.”
The gap
SIA estimates about 39% of the gap, or about 26,400 jobs, will be in technical occupations, 41%, or 27,300 jobs in engineering occupations and 20%, or 13,400 jobs, in the computer science field.
Because semiconductors have become critical in virtually all technologies today and there is expected to be an increase in chip use by 5% over the next decade, closing the talent gap in the U.S. is a foundation to success in the manufacturing industry, SIA said.
“Along with making historic investments to reinvigorate domestic semiconductor production and innovation, the CHIPS and Science Act anticipated the need to strengthen the semiconductor workforce in America,” said John Neuffer, SIA president and CEO. “We look forward to working with government leaders to advance policies that build on our industry’s longstanding workforce development efforts, expand the pipeline of STEM graduates in America, and retain and attract more of the top engineering students from around the world.”
The SIA recommends that chip firms engage in closer relations with community colleges, technical schools, apprenticeship programs, universities and laboratories. As the CHIPS Act investment grows, companies must grow their workforce development footprint. The U.S. government should also work with industry and academia to prioritize measures to address the skills gap.
The full research can be found in SIA’s “Chipping Away: Assessing and Addressing the Labor Market Gap Facing the U.S. Semiconductor Industry” report.
