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submitted 3 months ago by lemmee_in@lemm.ee to c/technology@lemmy.world

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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[-] Treczoks@lemmy.world 267 points 3 months ago

Just imagine what they would face in Europe, where workers even have rights!

[-] SlopppyEngineer@lemmy.world 96 points 3 months ago

Teaching the Asian colleagues the fine art of blocking factories and burning tires.

[-] blindbunny@lemmy.ml 32 points 3 months ago

Idk I seen the South Korean picket lines, that looks like solidarity to me.

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[-] bjoern_tantau@swg-empire.de 190 points 3 months ago* (last edited 3 months ago)

I'm reminded of the time Walmart tried to enter Germany with their work culture. But in their case it wasn't just that the Germans didn't like it. It was illegal. And the German customers were weirded out by Walmart employees smiling and being so cheerful all the time.

[-] echodot@feddit.uk 71 points 3 months ago

Apple still tries to have the cherry up-beat customer services department in the UK and it doesn't work. It's a Saturday, no one wants to be doing this call, don't pretend otherwise it's weird.

[-] Kushan@lemmy.world 171 points 3 months ago

This makes me laugh because I work for a UK company that was bought out by an American company, who's trying to treat the UK staff how they would treat US staff - and it's not going well.

Our American colleagues cannot fathom how much time we take off for holidays, especially around Christmas. They also got a shock when doing some recent "restructuring" they couldn't just fire a bunch of UK folks.

[-] teft@lemmy.world 60 points 3 months ago

Our American colleagues cannot fathom how much time we take off for holidays

So many days if it’s like colombia. They have 37 holidays off each year. It’s great but im constantly forgetting which days are festivals so i always end up walking to the store and then returning home dejected because i couldn’t buy my cheese.

[-] caboose2006@lemmy.ca 56 points 3 months ago

In china I had a UK roommate. He was on the phone with his mom mid week when she should have been at work. I asked if she was sick and he was like "No. She took some vacation days to tidy the house." My jaw hit the floor. My vacation days in the US were so precious and so few that I'd never fathom using any to do chores. Unreal that you can have so much vacation you'd elect to spend it doing chores.

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[-] MaggiWuerze@feddit.org 26 points 3 months ago

Sounds like the time Walmart tried to get a foothold in germany. Their american way of treating workers, but especially their way of treating customers (greeters at the door) crashed and burned hard here.

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[-] Gormadt 120 points 3 months ago

Happy workers are hard workers, treat them like shit and they'll walk right out the door.

[-] BigTrout75@lemmy.world 41 points 3 months ago

Correct! Well unless, they're starving and need to feed their families.

[-] Damage@feddit.it 40 points 3 months ago

Aren't the machines TSMC uses made in the Netherlands? They're the only ones who can get down to that size, and they do it working 36 hours a week...

[-] admin@lemmy.my-box.dev 29 points 3 months ago

My brother worked for such a Dutch company (ASM) and often got sent overseas to supervise the setting up of the production lines with these machines.

He mentioned when he'd get sent to Asia, the workers would make sure to get it done over a weekend, while implementing the same setup would take 2 to 3 weeks in the US. In part that was due to the working conditions mentioned, but also simple lack of planning in case of the latter (things would grind down to a haalt because certain changes would need to be made, and the person responsible for the decision wouldn't respond for hours or days, etc).

Side note: while 36 hour work weeks are common in the Netherlands, 40 hours is still the norm in my experience.

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[-] aaaaace 81 points 3 months ago

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

[-] PanArab@lemm.ee 11 points 3 months ago

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.

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[-] jf0314@lemmy.world 11 points 3 months ago

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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[-] jeffw@lemmy.world 63 points 3 months ago

Really? Nobody at TSMC thought to google “biggest mistake companies make when opening US plants”? Because this has all happened before

[-] Yambu@lemmy.dbzer0.com 63 points 3 months ago

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.

[-] nadir@lemmy.world 71 points 3 months ago

Similar stuff happened with US companies in the EU.

[-] Matumb0@lemmy.world 40 points 3 months ago

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.

[-] Toribor@corndog.social 23 points 3 months ago

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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[-] blindbunny@lemmy.ml 62 points 3 months ago

Sounds like they need a union

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[-] obinice@lemmy.world 52 points 3 months ago

perceived abuses

Way to be passive aggressive, haha. Next they'll be apologising "we're sorry you feel that way" :P

[-] AgentGrimstone@lemmy.world 52 points 3 months ago

I remember watching a documentary a few years ago where this exact situation happened. Chinese company buys American company, tries to establish their work culture and it just doesn't work.

[-] sunbeam60@lemmy.one 32 points 3 months ago

It’s the same the world over. I’ve worked for years for a western company which has got a large part of their business in Asia and China.

You try taking our “western ways” of leadership to China and see how well it fares; what I would consider “leaving space for a leader to operate and feel accountable” is seen as “my leader has no fucking clue what he is doing; he never tells me what he wants me to do”.

Culture eats everything for breakfast. As a western leader in China you have to act like a controlling maniac (in my cultural frame) to be seen as an effective leader in China.

And it goes both ways. My brother reports to a Chinese manager transplanted to the west and she “desperately wants to micromanage everything” according to the western team.

We are all trying our best.

[-] veeesix@lemmy.ca 11 points 3 months ago

Probably American Factory from 2019. Definitely a recommended watch for anyone unfamiliar with the topic.

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[-] b3an@lemmy.world 44 points 3 months ago

It doesn’t mean that the US factory is any less capable. What needs reworking is meeting the expectation and planning for contingencies. There should be ongoing shifts, specialized teams, rotation, mitigation, etc. I think our output is comparable but it’s done more safely and sustainable over a longer time VS grinding workers to dust and replacing them.

[-] leisesprecher@feddit.org 48 points 3 months ago

It's not about capabilities, it's about cost.

If you can exploit your workers, pay shit wages for long hours, you'll get a cheaper product. You can get the same output by applying higher standards, but that would mean hiring more people.

[-] Bakkoda@sh.itjust.works 26 points 3 months ago* (last edited 3 months ago)

The more time i spend in manufacturing environments ( I spend all my time there) the less i see actual product being the finished good. Business are setting themselves up for this autopilot pipe dream of "AI gonna fix everything" marketing/engineering utopia and in reality all it's doing is dividing your operations crew and management. They are neglecting equipment, default mode of compliance is non compliance because of awful processes and quality cutbacks (staffing staffing staffing) and at the end you get a product that's probably not gmp but who cares it's shipping.

[-] leisesprecher@feddit.org 19 points 3 months ago

That's the nature of capitalism.

Look at healthcare, software, construction. Unless there's a very clear incentive to produce high quality (laws or enforceable contracts) things will go lower and lower in quality.

And unfortunately, a lot of consumers don't care all that much about quality. They want crap that looks fancy.

[-] Bakkoda@sh.itjust.works 17 points 3 months ago

This last job (I'm a contract employee) will be my last in MFG. I was hired long term (2 years) to get a gsk/haleon site to add almost 40% more deliverables. 280 million units a year to 400 million. Reduce waste by 25%, CoA/CoE turn around down to 2 weeks from 6.

The labs, which operate almost entirely as a community (eg no real rigid structure, lots of senior empires) killed it. 7 day turn around which honestly now my mind. Packaging was a struggle once i pointed out that OEE can be improved by scheduling downtime rather than just oopsing it (strictly beancounter bullshit).

Manufacturing... Took my ideas, literally threw them in the trash in front of me and said they have experts from multiple countries, they don't need my help. Cool, i still get paid so whatever. You wanna see the biggest dumpster fire ever... Laid off about 40% of the mfg work force, rolled out some bullshit trainings about operators and maintenance working to bring equipment "back to new" whatever the duck that means (means maintenance budget is gone) all while investing 0 dollars into repair and maintenance. Gear boxes leaking oil into overflowing catch cans for months. Vacuum traps actually pulling ingredients out of the batches, building more systems upon systems that they can't validate. Cleans that won't pass swabs, cleans that aren't validated, processes that rely 100% on operators to transcribe SCADA data into an electronic batch record system.

Never seen anything like it but i know when a horse is dead and this one was dead before i got there.

[-] leisesprecher@feddit.org 15 points 3 months ago

As a software engineer, this is exactly how software works.

Everything is just a huge mess bolted and duct taped together, sometimes over decades. And it's all way too complex to understand and crap like crowdstrike happens.

You can't rely on anything anymore and I'm pretty sure, our highly interdependent world will come very close to collapse if anything major happens. Covid was a warning shot, but nobody heard it.

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[-] RizzRustbolt@lemmy.world 43 points 3 months ago

largest microchip manufacturer on the planet

front entrance looks like an abandoned 80s era mall

[-] wurstgulasch3000@lemmy.world 14 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

[-] Entropywins@lemmy.world 40 points 3 months ago

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.

[-] SoleInvictus 45 points 3 months ago

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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[-] Appoxo@lemmy.dbzer0.com 29 points 3 months ago

Hire more to work regular 8h shifts.

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[-] ILikeBoobies@lemmy.ca 14 points 3 months ago

IT be ready to be on call

Pretty standard for all systems IT

[-] Agent641@lemmy.world 14 points 3 months ago

Im IT on call.

They call, and call, and call. I game and hike and sleep. Monday, I email them the part of my contract that says "best effort to respond after hours when available"

Turns out I'm rarely available.

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[-] wolfylow@lemmy.world 38 points 3 months ago

Reminds me of the Netflix show “American Factory” about a Chinese factory opening in the US.

Quite a fascinating clash of cultures.

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[-] randon31415@lemmy.world 30 points 3 months ago

While TSMC is considered by many in Taiwan as the pinnacle of engineering jobs, other companies in Arizona are competing for that labor pool. Intel, in particular, is expanding its Arizona chip factory.

Ya, so about Intel.....

[-] AbsoluteChicagoDog@lemm.ee 28 points 3 months ago

Is this what they mean when they say they're creating jobs?

[-] Jajcus@sh.itjust.works 26 points 3 months ago

I hope they can be held accountable for mistreating those 'transplants" (what an ugly word!) too. But I guess that would be easier here in EU than in USA.

[-] daddy32@lemmy.world 26 points 3 months ago

Same thing happened when Kia entered Europe. Unusually low pay combined with mandatory morning employee marching and exercising in the factory, combined with threats of physical punishment for "under performing" workers.

[-] 5in1k@lemm.ee 17 points 3 months ago

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

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[-] 432@lemmy.world 16 points 3 months ago

So what happens to Taiwanese manufacturing when their population collapses due to a super low birthrate. They right behind South Korea in lowest TFR.

[-] OsrsNeedsF2P@lemmy.ml 14 points 3 months ago

W for workers rights, L for US fab production

[-] FalseMyrmidon@kbin.run 12 points 3 months ago
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this post was submitted on 09 Aug 2024
592 points (100.0% liked)

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