The European Chip Skills Academy (ECSA) has released its Skills Strategy report, written by DECISION Etudes & Conseil, which aims to address the growing talent shortage in the European semiconductor industry. Funded by the European Union and coordinated by SEMI, the report provides an insightful analysis of the labor market in the European semiconductor industry and proposes a strategic approach to filling the talent gap by 2030.
In recent years, Europe's investment and attention in the semiconductor industry have increased significantly. For example, the European Chips Act has increased Europe's competitiveness and self-sufficiency in semiconductor production through large-scale investment and policy support. The bill plans to invest more than 42 billion euros ($48 billion) by 2030 to effectively double the amount of semiconductor production in Europe and achieve a 20% share of the global semiconductor market by 2030.
With the continued growth in demand for chips and the EU Chips Act investment, the semiconductor industry in Europe is expected to usher in significant growth in the coming years. According to the report, employment in the semiconductor industry will grow at an average annual rate of 5% through 2030, with more than 271,000 job openings expected to be generated during the forecast period. However, the current rate of graduate growth cannot meet this demand, with the report noting that more than 75,000 technical positions are expected to be lacking in key areas such as hardware and software engineering, technologists and data specialists.
Although Europe produced more than 1.1 million STEM (science, technology, engineering and mathematics) graduates in 2022, of which 320,000 focused on semiconductor-related research, only 6% of STEM graduates are expected to enter the semiconductor industry. Many graduates tend to choose careers outside of unrelated fields or traditional engineering, leaving Europe with a talent gap that needs to be addressed urgently.
Figure: ECSA releases skills strategy in response to European chip talent shortage (Source: HRTech Series)
From the perspective of skill upgrading and talent development, the competitiveness of the semiconductor industry depends to a large extent on high-quality professionals. While promoting the development of the semiconductor industry, Europe also pays attention to relevant skills training and the construction of talent echelon.
To this end, ECSA's Skills Strategy Report proposes short- and long-term responses. In the short term, Europe can maximize the use of existing labor resources by increasing labor mobility within the EU, simplifying the visa process for workers from non-EU countries, and providing retraining for existing employees.
Laith Altimime, President of SEMI Europe, said: "Strategic communication is essential in order to attract more students to the semiconductor industry in the long run. The influx of STEM graduates will largely depend on the industry's ability to demonstrate itself as a field teeming with innovation and talent opportunities.”
Raphaël Beaujeu, Senior Advisor at DECISION Etudes & Conseil, said: "Collaboration between the education sector and industry needs to be further strengthened, and only by aligning academic programmes with industry needs can we ensure that a highly skilled workforce fit for the future can drive innovation and productivity in Europe."
Programs such as ECSA can effectively compensate for the talent shortage by working closely with industry to provide targeted training courses. ECSA's extensive network of companies also plays an active role in promoting STEM careers and ensuring a diverse labor market.
As the semiconductor industry increasingly becomes the core of global digital transformation, Europe's ability to address the talent gap will have a direct impact on its competitiveness in the global market.
