Businesses go where the talent is based. Michigan is in a race with other states for talented people to fill jobs. The availability of highly skilled and educated workers will make the difference between states that excel and those that fall behind in the decades ahead.
With 84% of the state’s top executives expecting to have trouble filling jobs, Michigan can’t afford to wait. Michigan must take a two-pronged approach focused on retention and attraction and quality, accessible training programs.
The state must retain more of its workforce, particularly those graduating from our four-year universities, and attract entrepreneurs and professionals looking to advance their careers and enjoy a good quality of life. In addition, more investment is needed for programs such as Michigan Reconnect, which allows residents 25 and up to attend in-district community college tuition-free, and the Going Pro Talent Fund, which makes awards to employers to assist in training, developing and retaining current and newly hired employees. While Michigan has made progress in recent years, including adoption of a goal to get 60% of working-age Michiganders to have a credential or a college degree by 2030, more must be done.
Learn how Michigan can compete to win in Business Leaders for Michigan’s latest report.
BusinessLeadersForMichigan.com/CompeteToWin
Michigan is behind in the race for talent
Michigan has been stagnant in terms of growth over the past decade. The state is expected to lose over 100,000 working age individuals in the next 10 years. And several Southern states have leapfrogged Michigan in terms of educational attainment. Michigan has been passed by Georgia and Kentucky in the past 10 years, and Tennessee is catching up.
Between 2016 and 2019, Michigan lost an average of about 6,000 workers a year to other states. While this improved in 2020 and 2021, we are still a net exporter of talent. Michigan is losing talent — primarily younger people — to warmer regions and technology hubs.
In the last 10 years, 62,000 Michiganders moved to Chicago alone, including 42,000 under the age of 34.
Michigan is ranked 35th in degree/certificate attainment nationally.
The top 10 destinations where Michigan talent goes includes:
1. Dallas, TX
2. Tampa, FL
3. Phoenix, AZ
4. Atlanta, GA
5. Seattle, WA
6. Houston, TX
7. Los Angeles, CA
8. Nashville, TN
9. Denver, CO
10. San Francisco, CA
Michigan is attracting approximately 80% of its young talent from the Great Lakes region, with the top cities for recruitment to Michigan being Chicago, Toledo and South Bend.
These statistics can help businesses and universities as well as local, regional and statewide governments, develop strategies to attract and retain more of Michigan’s talent pool.
See how Michigan can get to the Top 10 in Business Leaders for Michigan’s latest report.
BusinessLeadersForMichigan.com/CompeteToWin
Austin, Texas a magnet for people and businesses
Austin, Texas is a model for how a local economy can evolve to attract business and people. The groundwork was set half a century ago with strong business attraction. The city boasts relatively low cost of living, no state income tax, lower corporate income tax, low/consistent government regulation and a strong cultural component.
The popular South By Southwest (SXSW) festival, a music, film and tech conference that draws visitors from across the globe, has helped put Austin on the map, exposing it to a global audience, and accelerated its growth.
This evolution didn’t happen overnight. Over the past 60 years, Austin has taken the right steps to grow and develop:
In the 1960s, university partnerships helped Austin attract IBM, Texas Instruments and Tracor, the first three major tech companies to move to Austin, which built the base for future growth.
The 1970s and 1980s brought about significant investments in culture and housing, including kicking off the SXSW festival, expansion and beautification of the lake running through town, and low housing prices due to significant speculative development.
Since the 1990s, the city has focused on what attracts talent, improves the culture and supports growth. The city’s informal slogan “Keep Austin Weird” was coined in 2002 and is synonymous with being a fun, unique, and welcoming community.
About Business Leaders for Michigan
Business Leaders for Michigan, the state’s business roundtable, is dedicated to making Michigan a Top 10 state for jobs, education, widely shared prosperity and a healthy economy. The organization is composed exclusively of the executive leaders of Michigan’s largest companies and universities. Our members drive 40% of the state’s economy, employ more than 540,000 people in Michigan, generate over $1 trillion in annual revenue and serve more than half of all Michigan public university students. Find out more at www.BusinessLeadersforMichigan.com.
