Construction on Apple partner TSMC’s Phoenix factory reportedly plagued with accidents, setbacks : Tech Live Trends

Apple manufacturer TSMC’s US$40 billion semiconductor facility in Phoenix, Arizona, “an open shop that resisted signing an agreement with labor unions, has been tainted with accidents, alleged wage theft, and costly setbacks,” reports The American Prospect.

In November 2022 it was reported that TSMC planned to build another fabrication plant in Arizona alongside the US$12 billion factory it has already committed to in Phoenix. The second plant is expected to manufacture next-generation 3nm chips for Apple. 

However, according to an April 19, 2023 article at The Wall Street Journal (a subscription is required to read the article), TSMS, which plans to invest $40 billion in two chip factories in Arizona, is concerned about rules that could require it to share profits from the factories and provide detailed information about operations, said people familiar with the situation.

Chairman Mark Liu [said] “Some of the conditions are unacceptable and we aim to mitigate any negative impact from these and will continue discussions with the U.S. government.”

Construction is underway, but injuries and safety violations are rampant, workers say, and trust in the jumble of contracting managers runs low, according to The American Prospect. TSMC managers have allegedly stepped in to modify contractors’ work without warning. A worker with one of the staffing agencies hiring for the facility said she has repeatedly been paid less than her salary, and colleagues have been denied paychecks.

“It’s easily the most unsafe site I’ve ever walked on,” said Luke Kasper, a representative of the sheet metal workers union, known as SMART, told The American Prospect. “I’ve been in the trades 17 years … everyone that works at the hall and out there on-site agrees that it’s by far the most dangerous, unorganized job site they saw.”