Coronavirus: Intel accused by workers of prioritising output over safety

The world’s largest semiconductor maker is under pressure to ramp up production to meet demand

Intel said there has been no transmission of the virus at a company facility. AP

Intel compromised worker safety at some of its factories to maintain chip production in the midst of the Covid-19 pandemic, according to complaints filed with government agencies.

At a plant in Arizona, the world’s largest semiconductor maker did not isolate staff that worked closely with teammates who had tested positive and did not institute tests, people who work there said.

Factory managers also dismissed concerns that social-distancing guidelines were not being followed properly, according to the people, who asked not to be identified because they fear sanction by their employer.

Many of these virus-related concerns were also raised in filings to state agencies that regulate workplace safety. The company said it responded with new policies to improve employee safety and kept factory output high because its products are essential.

“We completely understand that people would be concerned,” said Darcy Ortiz, vice president and general manager of corporate services within Intel’s manufacturing organisation.

“We have a strong safety culture. We have provided means for people to escalate issues. We welcome that.”

As far as Intel is aware, there has been no transmission of the virus at a company facility. Complaints in internal forums and to the state safety agencies have helped the company refine and improve its response to the pandemic, Ms Ortiz added.

One complaint about the Arizona site was sent to the Arizona Division of Occupational Safety and Health. The agency is investigating and won’t comment further until the probe is complete, said Trevor Laky, chief of legislative affairs at the Industrial Commission of Arizona, which oversees ADOSH.

It’s unclear if the regulator will take any formal action against Intel.

In Oregon, the Occupational Safety and Health division received more than 40 virus-related complaints about Intel plants in the town of Hillsboro and another nearby location.

Submitted from late March to late April, the filings accuse Intel of not enforcing social-distancing rules, not providing masks to workers and letting employees with symptoms return to work without providing proof they tested negative for Covid-19, according to documents the agency shared.

Four of those complaints are still under investigation, and only one has been fully closed, according to the documents. The agency doesn’t comment until a case closes or is escalated. It said it often only has to call a company named in a complaint “to get a business to change course.”

Before Covid-19 began to spread, Intel was under pressure to ramp up production. It has struggled to switch to a new way of making smaller, more efficient chips, and spent most of last year unable to increase output enough to meet all orders from customers.

In the past, some of its main clients such as Dell and Apple have publicly complained about this.