This piece covers Michigan’s economic recovery since COVID-19 and highlights the state’s challenges and opportunities for future growth.
While Michigan’s job market has rebounded impressively since the pandemic’s height, with unemployment rates at a decades-low and new job creation, economic experts are cautious about its sustainability.
Michigan’s economic structure, heavily reliant on manufacturing, particularly the auto industry, poses a challenge. Manufacturing jobs, which once paid well, now make up a smaller share of Michigan’s economy and face rising automation that could result in further job losses.
Despite the construction of new plants and factories, projections indicate a decrease in manufacturing employment, particularly in auto-related jobs.
Most job growth in Michigan is expected to come from sectors like healthcare, education, and professional services, which increasingly require higher education.
With only one-third of Michigan’s population holding a four-year degree or more, there’s a critical need for the state to increase educational attainment to align with the demand for technical and professional roles.
This strategic shift, alongside diversifying beyond traditional manufacturing, is emphasized as essential to Michigan’s long-term economic competitiveness and income growth relative to national averages.