this post was submitted on 09 Aug 2024
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Taiwan Semiconductor Manufacturing Company (TSMC), one of the world’s largest advanced computer chip manufacturers, continues finding its efforts to get its Arizona facility up and running to be more difficult than it anticipated. The chip maker’s 5nm wafer fab was supposed to go online in 2024 but has faced numerous setbacks and now isn’t expected to begin production until 2025. The trouble the semiconductor has been facing boils down to a key difference between Taiwan and the U.S.: workplace culture. A New York Times report highlights the continuing struggle.

One big problem is that TSMC has been trying to do things the Taiwanese way, even in the U.S. In Taiwan, TSMC is known for extremely rigorous working conditions, including 12-hour work days that extend into the weekends and calling employees into work in the middle of the night for emergencies. TSMC managers in Taiwan are also known to use harsh treatment and threaten workers with being fired for relatively minor failures.

TSMC quickly learned that such practices won’t work in the U.S. Recent reports indicated that the company’s labor force in Arizona is leaving the new plant over these perceived abuses, and TSMC is struggling to fill those vacancies. TSMC is already heavily dependent on employees brought over from Taiwan, with almost half of its current 2,200 employees in Phoenix coming over as Taiwanese transplants.

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[–] [email protected] 41 points 3 months ago (13 children)

I work in a fab and it's pretty industry standard to run 12 hr shifts for operators (3 on 4 off then 4 on 3 off) and if your in engineering or IT be ready to be on call cause they don't want a 20-100 million+ machine down any longer then absolutely necessary.

[–] [email protected] 44 points 3 months ago (8 children)

I also work in a fab. We have the 3-4-4-3 rotating shift pattern just like everyone else, but we don't treat our people like cattle, unlike TSMC. We also tend to slightly overstaff, versus TSMC that understaffs and drives their people harder to make up for the difference.

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[–] [email protected] 10 points 3 months ago (2 children)

Well hopefully it fails and sells to a not terrible company.

[–] [email protected] 11 points 3 months ago (2 children)

TSMC is a massive company that makes a huge profit. Almost nobody else in the world can make 5nm chips (intel can but they already are setting up in Ohio).

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[–] [email protected] 65 points 3 months ago (2 children)

Not a surprise given that worker rights are practically non-existant in the East.

Still wild that TSMC thought they could pull that on western workers. I hope they realize it's not gonna happen and rethink their processes.

[–] [email protected] 75 points 3 months ago (1 children)

Similar stuff happened with US companies in the EU.

[–] [email protected] 41 points 3 months ago (1 children)

That stuff even happens with UK companies taking over German companies. They think they can just fire the members of the working council, very bad mistake! Remember, if you go to another country, you have to adjust to their law.

[–] [email protected] 23 points 3 months ago (1 children)

if you go to another country, you have to adjust to their law

Big business knows no national boundaries. They'll build factories wherever labor is cheap, put headquarters wherever the taxes are low, and sell their wares wherever consumer rights are weak.

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[–] [email protected] 6 points 3 months ago (1 children)

They're probably more likely to pack up and leave. Some people are just too stubborn-stupid to adapt.

[–] [email protected] 6 points 3 months ago

They aren’t stubborn, it’s simply way easier for them to make a profit in Taiwan instead. If ever the workers in Taiwan refused 12 hour shifts then TSMC would see the writing on the wall.

Something similar happened when Foxconn first opened iPhone in India.

[–] [email protected] 0 points 3 months ago

The CHIPS Act is going well.

[–] [email protected] 79 points 3 months ago (7 children)

3 new chip fabs open recently around phx, which is in low-altitude desert, has had water supply issues for so long there's a canal running from the Colo river through it all the way to Tucson.

Which is fed by a reservoir so low they find old mobster kills in barrels and might have to stop making power.

Why so stupid and short-sighted?

Ah, "faith-based".

And a Republican governor made the deals. Who also allowed water to be used to grow alfalfa that's sent to Saudi to feed their horses.

$$$ + no sense

[–] [email protected] 11 points 3 months ago (1 children)

76% of AZ water use is for agriculture, but that's besides the point. I've read that most of the water used in a fab gets recycled, so once up and running, water usage isn't as much if an issue as you'd think.

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[–] [email protected] 9 points 3 months ago* (last edited 3 months ago)

You raise very valid points, and water usage (and over allocation) is a huge issue but it is worth mentioning that Arizona has fairly consistent and predictable weather, decently reliable power grids (with access to cleaner energy sources like solar, hydro, and nuclear), and is pretty seismically stable.

Don't get me wrong, water consumption is going to be a huge issue once these plants really get going, but I don't think it's entirely stupid and nonsensical to park them where they did.

[–] [email protected] 12 points 3 months ago (1 children)

Cows not horses. Peninsular Arabs are some of the few populations on Earth with the mutation that allows for lactose tolerance among adults. It developed over millennia of having nothing else to consume.

[–] [email protected] 7 points 3 months ago

Interesting...the company I applied to told me that it was grown and stored to be flown to Saudi for feeding thoroughbred horses. No mention of cows.

[–] [email protected] -2 points 3 months ago (1 children)

This was a bipartisan screw up, Biden after all led the initiative

[–] [email protected] 2 points 3 months ago (1 children)

Where do you think our cops are going to come from when China invades Taiwan? This was necessary.

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[–] [email protected] 45 points 3 months ago (1 children)

largest microchip manufacturer on the planet

front entrance looks like an abandoned 80s era mall

[–] [email protected] 15 points 3 months ago

They just built this! I mean not everything has to look like a cybertruck but why does it already look 40 years old

[–] [email protected] 0 points 3 months ago* (last edited 3 months ago)

I thought bringing Taiwanese working conditions to the US would help.

(I can't find the full clip so you'll have to click right on the arrow a couple times.)

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