Job Market in Michigan
Michigan has been boasting some good news for job hunters in 2017! According to recent polls, unemployment rates have dropped to only 6%—the lowest the state has seen in the last 14 years—pulling Michigan from the bottom of the list for job markets in the US.
Michigan saw a loss of almost 750,000 jobs back in early 2000s, as the state was ravaged by the economic downturn which swept the nation. But, while this hit the state hard, the area’s rebound has been even more impressive. Recent studies show that the state will have recouped all of these lost jobs by the year 2020, as the state continues to add approximately 64,000-71,000 jobs per year since 2009.
The increase in jobs in the Michigan market is due in part to a combination of efforts between government agencies and corporate investors. With companies like Ford, Quicken Loans, and Chrysler vowing to add more jobs over the next few years and government agencies investing in enticing business models for corporate offices, the job market seems to be at a steady growth.
This year seems to only look up for the state’s job market, too. President Trump announced plans to increase U.S. manufacturing jobs, which is a large portion of the state’s economy. Both residential and commercial property demand has increased the need for construction work this year, as well, as the housing market in Michigan has seen the highest application for new housing permits since the early 2000s. The automotive industry is back to its peak production levels, employing thousands of production workers and laborers across the state. Experts currently believe that Detroit’s Big Three automakers will grow in production, from a projected 7.4 million vehicles for 2017 to 7.5 million during the next two years.
Amazon recently announced plans to hire approximately 1,000 workers to staff a new distribution center being created inside of a retired General Motors plant located in Livonia, Michigan. Several other companies vowed to increase jobs over the next year as well, including Ford, Fiat, and Chrysler.
To encourage even more economic growth, Michigan officials have implemented a tax break for corporations bringing in hundreds or thousands of jobs to the state. The law was designed to help diversify Michigan’s economy and attract new, large-scale employers in all aspects of industry.
The Michigan Strategic Fund, an economic development corporation, recently approved funding for four business expansions that are said to produce more than $76.8 million in total investment and create 555 jobs throughout southeastern Michigan within the next year. These companies include Kingfa Science & Technology, Inc, Valeo North America, Inc, ABB, Inc, and Macomb Smoked Meats. Each of these companies had been looking at locations in other states, but thanks to grants offered by the development corporation paired with the lucrative tax benefits from the state, all four decided to launch their expansions in Michigan.
Currently, Michigan is ranking 22nd in employment, 33rd in per capita personal income, and 35th in per capita GDP in comparison to other states.