This story was originally published by The 19th.
Companies seeking federal grant funding last year faced a groundbreaking requirement – the provision of a child care plan for their employees. This new mandate was part of the CHIPS and Science Act, which allocated $50 billion to bolster semiconductor manufacturing and research within the United States. Semiconductors, commonly known as microchips, are crucial components used in various technologies such as computers, smartphones, solar panels, wind turbines, and electric cars. To reduce dependency on imports, create jobs, and address supply chain vulnerabilities exposed during the pandemic, the United States is accelerating efforts to strengthen its chip manufacturing capabilities.
However, the successful development of the semiconductor industry hinges on having an adequate workforce. With projections indicating a shortage of approximately 90,000 workers in the semiconductor industry and challenges in filling over 400,000 roles in the construction sector, addressing this labor gap is vital.
One strategy to overcome this shortage is by increasing the number of women trained for these roles. Currently, only 4% of the construction workforce and 29% of the manufacturing workforce in the U.S. are women. Department of Commerce Secretary Gina Raimondo emphasized the importance of removing historical barriers faced by women in these industries, with childcare being a significant obstacle.
Raimondo highlighted the economic necessity of reliable and affordable childcare in facilitating women’s entry into the workforce to address the employment demands of programs like the CHIPS for America initiative. As companies receiving grants began unveiling their child care plans, progress towards this goal became evident.
In April, Micron was awarded $6.1 billion in funding and announced the establishment of childcare facilities near its headquarters in Idaho, emphasizing the importance of supporting workforce entry and re-entry through accessible childcare services. Similarly, Intel, a grant recipient, committed to enhancing childcare programs for its employees, underlining the fusion of career advancement and childcare support.
While some grant recipients are still finalizing their child care arrangements, companies like Samsung are actively collaborating with the Department of Commerce to address this requirement. Providing tailored childcare solutions is essential to avoid exacerbating the existing child care crisis.
States like New York and Oregon are taking proactive measures to align their state objectives with federal mandates, ensuring adequate childcare infrastructure to support the workforce demands posed by manufacturing jobs. The innovative approaches adopted by these states serve as models for creating sustainable solutions to address the broader child care challenges.
Advocates emphasize the importance of building a diverse workforce in the semiconductor and construction sectors, not limited to facilitating childcare but also integrating nondiscrimination policies and outreach programs. The collaboration between federal agencies and state initiatives signals a positive shift towards inclusive workforce development.