Work on Micron’s Fab 11E project in Taoyuan has been put on hold while the company and its local union remain divided over a clearer formula for sharing profits, according to reports. The Micron Taoyuan plant construction pause has left the site largely quiet, with only minor safety-related activity continuing, Bloomberg reported.
Micron has not issued a public statement about the suspension, though it has notified local officials. The company said Taiwan remains important to its global operations and that its business continues as usual, expressing confidence in maintaining continuity for customers.
Union Talks and Strike Pressure
The Taoyuan union has been pushing for improved terms and staged a one-day strike last month to demonstrate how its members could disrupt operations. The two sides are scheduled to meet again on November 6. Sources cited by Bloomberg said executives are concerned about uncertainty in the negotiations.
Micron recently announced a bonus that could reach as much as five times the annual salary of some eligible workers. It also completed an agreement with the larger Taichung union, although some members said they were unhappy with the result. The Taoyuan union, however, is holding out for what it considers better conditions.
Wider Labor Unrest Across Memory Chipmakers
The dispute fits a broader pattern of worker activism at the three major memory chip manufacturers: Micron, Samsung and SK hynix. Employees have been pressing for a larger share of the large profits generated by the AI memory chip boom.
At SK hynix, staff recently secured a payment of $50,000 each, with employees set to receive $477,000 in bonuses this year and up to $900,000 next year. Samsung Foundry workers sought an average bonus of $340,000, which was approved at the last minute and avoided a large strike that could have disrupted operations. Workers at the South Korean companies expect performance bonuses of up to $400,000 and have been turning down overseas training opportunities in favor of cash.
Global Expansion Continues Elsewhere
While the Taoyuan construction work is paused, Micron is pursuing projects in other locations, including a high-bandwidth memory fab in Japan, a $24 billion development in Singapore and facilities across the United States. The company has said it looks forward to reaching an agreement with the workers, and the Taiwan government has expressed hope for a win-win outcome for both sides.
