The semiconductor industry is in one of the largest construction booms in its history, fueled by surging demand for advanced chips, particularly those powering artificial intelligence (AI). AI is fundamentally reshaping both the technology landscape and the infrastructure required to support it. Meeting the construction demand requires collaboration across the semiconductor ecosystem and a strong talent pipeline.What it Takes to Build a Fab Modern semiconductor fabs are complex. These sites include cleanroom fab buildings, central utility plants, electrical substations, wastewater treatment facilities, support buildings, offices and logistics infrastructure.Constructing such facilities requires a highly coordinated, multi-phase approach. Firms like Skanska are typically involved early through design-build models, working alongside owners and stakeholders from the outset. The fab construction process typically has three phases:Core and shell construction, where the structural building is erected and enclosedFit-out, focused heavily on mechanical, electrical and plumbing (MEP) systems Tool installation and utility connection, where the fab becomes fully operational Each phase demands precision and synchronization. A large project can host around 10,000 workers per day—a small town’s worth of activity requiring seamless coordination, logistics planning and rigorous safety protocols.The Workforce ChallengeThe biggest constraint on the semiconductor boom isn’t capital or technology—it’s skilled labor. It’s faced with a shortage of qualified tradespeople, particularly in critical disciplines like electrical and mechanical work.Electricians are in extremely high demand. The rise of both semiconductor fabs and data centers has created concentrated construction activity, where companies compete for the same limited talent pool. But this is not just a numbers problem—it is a challenge of increasing technical skills.Fab construction is far more technical than traditional commercial building. It requires highly trained journeymen and master electricians, pipefitters and welders who understand complex systems and can work in specialized environments such as cleanrooms. Workers must be trained not only in their trade, but also in contamination control, safety protocols and the unique operational requirements of semiconductor manufacturing.Compounding the issue is a generational gap in the workforce. The construction industry is seeing experienced workers retire or leave the field, while the next generation is only beginning to enter the workforce, leaving a shortage of experienced professionals in the middle of the pipeline. At the same time, attracting and retaining next-generation talent is a challenge, as many gravitate toward careers perceived as more analytical, technical and specialized rather than field-based project management work.Ironically, semiconductor construction is exactly that—highly technical, increasingly digital and deeply connected to the future of AI and advanced manufacturing. The challenge lies in communicating that reality and creating clear, compelling career pathways.Beyond Hiring: Building Skills and CapacityOne strategy is to create mentorship models within the trades. Rather than relying on a single large subcontractor to deliver the entire scope—such as electrical work—projects can break the work into smaller packages. This enables multiple firms to participate by pairing experienced trades with newer firms entering the market. These mentor-mentee structures help expand the labor pool while maintaining quality and knowledge transfer. Assumptions about workforce capability cannot be taken for granted. Even when working with established contractors or unions, skill levels can vary by region. This requires more rigorous qualification processes, targeted training and closer oversight, particularly in highly technical areas like MEP systems, which can account for roughly 25% of a fab’s total construction cost.Off-site manufacturing (OSM) is another lever. By prefabricating components in controlled environments, companies can reduce on-site labor demands, improve quality and mitigate workforce shortages. This approach requires tight coordination across the supply chain and early alignment between design, construction and equipment installation teams.Efforts to build the talent pipeline are underway, but many remain localized or in the early stages. In Arizona, for example, Skanska is partnering with community organizations, trade schools and veteran groups to attract new workers into construction careers. Initiatives include job fairs, training programs and “day of discovery” site tours that expose students to real-world projects.Engagement is also expanding to younger audiences. Programs with organizations like the Girl Scouts and STEM-focused institutions are introducing K-12 students to construction and semiconductor manufacturing, helping reshape perceptions and spark early interest.Subcontractor engagement programs are another important component. By supporting small, local subcontractors, companies can broaden participation in the ecosystem while creating new pathways for workforce entry and development, opening capacity for other firms.Subcontractor engagement is not simply a supporting initiative—it is a critical lever for expanding workforce capacity. By intentionally developing and integrating small and local subcontractors into projects, companies can unlock new pools of labor, strengthen regional capabilities and reduce reliance on a limited set of established firms. These efforts create meaningful entry points into the industry, accelerate skill development and enable a more scalable delivery model. When paired with mentorship and structured onboarding, subcontractor engagement becomes a powerful mechanism for both immediate project execution and long-term workforce growth.Yet these efforts are not enough on their own. The scale of the semiconductor boom demands a more coordinated, industry-wide response.A Call for Greater Industry AlignmentEquipment manufacturers, material suppliers and construction firms all share a common customer: the semiconductor manufacturer striving to bring capacity online quickly and competitively. Success depends on how effectively this ecosystem works together.That collaboration must begin early in the project lifecycle. Facilities should be designed with equipment integration in mind, ensuring that tools can be installed efficiently and without rework. Construction schedules must align with equipment delivery timelines. Suppliers must provide clarity on requirements and constraints. All stakeholders must consider how their decisions impact labor demand and workforce readiness.Equally important is a shared commitment to workforce investment. This includes:Developing standardized training programs for semiconductor construction Expanding apprenticeship and mentorship models Partnering with educational institutions and community organizations Promoting construction as a high-tech, future-oriented career path Leveraging innovation, such as OSM, to optimize labor utilization Building the Future TogetherThe semiconductor fabs being built today will underpin the technologies of tomorrow—but these facilities do not build themselves. They require thousands of highly skilled, specialized workers who operate in sync and are supported by a network of companies that must collaborate more closely than ever before. This is the time for the semiconductor value chain to operate as an integrated ecosystem rather than a series of isolated players. Through shared commitment to workforce development, collective responsibility and sustained investment in talent, the industry has the opportunity not just to meet demand, but to fundamentally shape the future of advanced manufacturing.Joycelyn Yue is National Director - Subcontractor Engagement at Skanska, where she leads a team of professionals in 23 offices. Yue partners with regional and national leadership to further develop and elevate the company’s Supplier Diversity Compliance program. In her role, Yue maximizes opportunities for small and diverse businesses while establishing relationships with the communities where Skanska builds.Yue joined Skanska from Southern California Edison where she served as Supplier Diversity Senior Program Manager. Yue has a B.S. in Business Management from California State Polytechnic Pomona and is based Los Angeles.
