US Chips Act Office Loses Two-Fifths of Staff to Trump Purge
The US government office responsible for the $52 billion chip subsidy program will lose nearly a third of its staff due to President Donald Trump's purge of federal workers. The office, which oversees a marquee manufacturing spending program, has seen around 20 employees accept voluntary deferred resignations and another 40 probationary employees face termination. This reduction threatens to hamper the implementation of the Chips and Science Act, a bipartisan law signed by President Joe Biden in 2022.
- The Trump administration's staffing cuts may inadvertently accelerate the shift of chip manufacturing from Asia back to the US, as some companies may be forced to invest more in domestic production due to reduced access to cheap labor.
- How will the long-term impact of these layoffs on the competitiveness and economic viability of the US chip industry be mitigated by potential government support measures or targeted investments?