TSMC accused of discriminatory hiring practices

TSMC accused of discriminatory hiring practices

TSMC's logo on the outside of its North America headquarters in San Jose, California

Taiwan Semiconductor Manufacturing Company (TSMC) is currently facing a lawsuit from both current and former employees over allegations of employment discrimination.

The employees claim the world's leading chipmaker has shown preferential treatment to Taiwanese citizens while pushing out American workers, as reported by Forbes.

Deborah Howington, a talent acquisition director, first filed the lawsuit in August. She asserts that she witnessed the HR department create a work environment "in which non-Asian employees and non-Taiwanese citizens are subjected to a stricter level of scrutiny than similarly situated Asian employees (including Taiwanese citizens)."

Since the initial filing, a dozen former TSMC employees have joined the lawsuit.

Subscribe today for free

The allegations also include claims that TSMC's HR team in Taiwan sends pre-vetted resumes of candidates eligible to work in the U.S. to the company's American branch. According to the lawsuit, the U.S. team "simply hires these Asian/Taiwanese candidates without question, even if no open roles have been posted in the US"

Additionally, the lawsuit states that Mandarin or Chinese language skills are sometimes listed as job requirements even when unnecessary for the role, and that the use of Mandarin is employed to exclude non-Mandarin speakers and hinder their career advancement.

Several reports have also indicated that TSMC has struggled to establish itself in the United States, with concerns over labor practices driving away American workers. To meet deadlines, the company has had to bring in "several hundred" employees from Taiwan.

The plaintiffs’ attorney, Daniel Kotchen of Kotchen & Low, told Forbes: “Having accepted $6 billion in U.S. federal funding and elected to compete within the U.S., it’s imperative that TSMC comply with federal discrimination laws and treat all races, national origins, and citizens equally. We’re confident in our case and look forward to presenting it to a jury.”

Capacity Media has contacted TSMC for further comment.

RELATED STORIES

TSMC and Samsung in talks for massive chip plants in UAE: report

US orders TSMC to halt shipments of 7nm AI chips to China: report

Gift this article