Catenaa, Friday, July 11, 2025- The global semiconductor industry is confronting a severe talent crisis, with a projected shortage of one million skilled workers by 2030, according to the industry group Semi.
The shortfall spans engineers, managers, and leaders, threatening the sector’s rapid growth driven by AI, 5G, automotive, and consumer electronics demand.
The Semiconductor Industry Association estimates a deficit of 67,000 workers in the US alone by 2030, while Europe faces a shortfall exceeding 100,000 and the Asia-Pacific region over 200,000.
Additionally, the sector needs 100,000 mid-level managers and 10,000 senior leaders, many to be recruited from outside the chip industry.
Sales hit $627.6 billion in 2024, up 19.1%, boosted by AI and 5G growth. Governments back expansion with substantial investments.
The EU’s €43 billion Chips Act aims for 20% production share by 2030, while the US allocates $52.7 billion through the CHIPS and Science Act. The UK lags with a modest £1 billion plan.
The talent shortage is driven by declining enrollment in semiconductor and engineering programs, aging workforce retirements, and rising competition for skilled workers.
About a third of US semiconductor professionals are over 55. Employee turnover rose to 53% in early 2024 due to limited career growth and lack of flexibility.
Firms are boosting appeal by improving pay, flexibility, and hiring based on skills rather than academic pedigree. Initiatives like the U.S. Workforce Partner Alliance aim to train new talent with grants up to $2 million.
