Taiwan Semiconductor Manufacturing Co. announced earlier this year that it will triple its Phoenix campus over the next decade-plus, positioning itself to become one of Arizona's largest employers.

Why it matters: The Valley rallied to ensure residents were ready to fill the thousands of high-wage, high-tech jobs the company promised when it announced its arrival in Arizona five years ago.

• But the next wave of TSMC workforce development will require capturing workers at every entry point: recent high school graduates, mid-career laborers displaced by automation, food-service workers who never considered a job in the tech industry and top engineering graduates with post-secondary degrees.

Threat level: Failing to meet the moment could cost the Valley more than just squandered high-paying jobs.

• It could also amount to a national security shortfall of epic proportions — the U.S. sees TSMC's investment here as the first major step to decrease its reliance on foreign semiconductor manufacturing.

State of play: TSMC's first Phoenix fab, or fabrication plant, began production last year, employing 3,000 workers. By the time its third fab opens by the end of the decade, the company anticipates needing 6,000 total employees, TSMC Arizona president Rose Castanares told Axios.

• TSMC will build another three fabs, two advanced packaging facilities and a research and development center over the coming decades, and Castanares said to expect employee growth at a similar clip until build-out.

The big picture: The semiconductor industry is not new to Phoenix. But the scope and speed of TSMC's investment here and its technological advancement mean there are not nearly enough readily qualified employees to meet TSMC's planned growth.

Yes, but: Arizona has an abundance of workers who, with appropriate training, can be an asset to TSMC, Castanares told Axios.

• While the company decided to open a U.S. campus because of customer demand, company leaders are also excited to tap into the American talent pipeline, she said.
• That's why TSMC has invested in university and community college programs that attract and train local employees.

New apprentice programs

When its Phoenix campus is complete, TSMC will be among the largest foreign-headquartered employers in the U.S.

Why it matters: Economic developers generally love this kind of foreign direct investment — it's an influx of spending and jobs that would have otherwise been made outside the U.S., but it also requires the blending of two distinct workplace cultures to be successful.

Catch up quick: As the first fab was readying for production, there were multiple reports of cultural clashes at the Phoenix facility and disagreements over work expectations.

• More than half of the existing 3,000 employees at TSMC Arizona are American hires. The remainder are Taiwanese, most of whom are on temporary assignments to provide short-term training to new employees.

The big picture: TSMC expects workers at all of its facilities to strive for perfection, stay humble and adopt a company-first mindset, Castanares told us.

Reality check: It's not the right fit for everyone, Castanares conceded. But those who've adopted the mindset and pace have thrived at TSMC Arizona.

Training in Taiwan

Here are a few of the Arizonans working at TSMC:

👋 Meet Mark: Phoenix native Mark Toro was hired as a technician in 2022 after taking the Semiconductor Technician Quick Start program at age 19.

• When he started, the company was operating out of a temporary facility near Metrocenter.
• He's now a backup lead technician, with plans to move into a team lead role when his current manager, here on temporary assignment, returns to Taiwan.

👋 Meet Taylor: ASU graduate Taylor Gowdy, who grew up in the Valley, was hired as an equipment engineer last July.

• She told us she didn't know much about TSMC when she was recruited out of ASU, but current engineering students are now reaching out to her to learn about opportunities within the company.

👋 Meet Nolan: 22-year-old Nolan Cottingham was working at In-N-Out Burger before starting as a technician apprentice last month.

• A Boulder Creek High School graduate, Cottingham told us he was interested in a tech job and had been watching for TSMC opportunities since he learned about the company in 2020.

From Wendy's to TSMC

TSMC's north Phoenix campus will take more than a decade to complete — which means the company's next generation of recruits is currently attending Phoenix elementary schools.

Why it matters: The Valley's initial priority was prepping ready-to-work employees for TSMC. Now, recruitment should begin earlier in the pipeline to get Arizona kids prepared for — and excited about — the semiconductor field, education and industry experts told Axios.

State of play: TSMC has partnered with the Deer Valley Unified School District to send engineers into classrooms to introduce young students to semiconductors, Castanares told us.

• West-MEC, a career-technical education school serving West Valley districts, last year broke ground on a 16,500-square-foot advanced manufacturing and welding building that will allow high schoolers to start technician training before graduation.

Yes, but: Elementary and middle-school opportunities need to be more widespread and accessible, said Shan Strategies founder Pearl Chang Esau, who does workforce consulting for TSMC.

Not-so-dirty jobs