Ask anyone who worked in retail for a long time. When they replaced the point of sale and catalog search systems in the early 2000's, everyone's productivity plummeted.
They replaced old, DOS/Norton-style keyboard-only systems with a legion of shortcuts and archaic codes with Web-based touch-screen or mouse-based UIs with modern UX etc.
The new technology was obviously more modern and allowed faster training, and it's hard to imagine any world where that upgrade doesn't happen. But the old system was faster, and allowed experienced users to do more.
Now, if you're talking about a Blockbuster Video, maybe it's the right choice.
But if you're talking about extremely specialized semiconductor manufacturing, maybe you stick with the highly optimized system that works. Some things changed a lot since 1987. Others haven't.
There's 168 hours in a week. If people work for 40 hours a week, to cover the 168 hours you need to employ 4.2 people for every employee you want on the floor at any given time. That means everyone works 5 8-hour shifts, or 3.3 12-hour shifts per week.
If you reduce headcount by 33%, that works out to 2.8 people per employee on the floor, which means everyone works 60 hours per week -- 7.5 8-hour shifts, or 5 12-hour shifts. That's a lot.
That's one of the pitfall of low labor costs: since time is virtually free it tends to create a culture that doesn't use it efficiently.
I've seen it with offshored devs way too often; why take the time to learn version control when you can pass around code in emails and on thumb drives?
Honestly, I'm surprised so much hands-on work is needed when we're talking about a semiconductor company. One would think a lot of the fine-tuning work, which seems to be what requires a lot of the labor, could be easily automated with current technology.