Todd's Thoughts
The Southeast Michigan Council of Governments (SEMCOG), a regional planning organization that unifies several municipalities in the Detroit area for major political and economic development plans, released their estimate for the future of the Metro Detroit area, and to say the least, the future shows promise. It's impossible to ignore the recession our state is exclusively experiencing, as indicated by the almost never-ending lull in employment. The good news delivered by SEMCOG is that the recession WILL END, relatively speaking. Furthermore, it would seem the analysis by SEMCOG agrees with my own assessments of Michigan's future.
By 2009, SEMCOG estimates the beginning of a slow, progressive increase in jobs, increasing more as there will be a nearly consistent decrease in the labor force size in Michigan between 2015-2025. Ultimately, however, they estimate that Michigan will not reach the employment levels it had in 2000 until 2022! If anything, this period of adjustment is to be expected, as Michigan goes from working with only its hands, to using the hands and minds of its citizens. Additionally, that doesn't mean the 15 years between now and then will be dark days of long unemployment lines and failing businesses.
Privately owned small business will still flourish and become the new foundation for Michigan in this time. It's refreshing that SEMCOG agrees with me there as well. Small business is KEY to Michigan's economy. I've said on several occasions that The Big Three are not so big anymore and Michigan can't depend on them. Sure, you can dismiss the opinion of one person, but the estimate by SEMCOG rang so true to me that I wanted to quote it here:
"Even if downsizing and restructuring turn these companies into profitable enterprises again, the evidence suggests that Southeast Michigan should no longer rely on domestic automotive production to propel economic growth."
What was disappointing in the SEMCOG data, was true evidence of a replacement for the automotive industry as the hub of the state's economy. While none of us has a crystal ball, I was hoping that there would be more direction shown in the data. What is clear is that even as jobs increase in Michigan, they won't be in the auto industry. It's time to accept that and move on.
Speed Interviewing Growing
Welcome to the world of speed interviewing, a growing phenomenon in corporate America. The strategy, which helps employers lock in top candidates before they explore other options, reflects companies' growing concerns about meeting staffing needs. They face a looming shortage of skilled workers as baby boomers retire and employment expands in areas like health care, finance and technology.
Much like speed dating, the idea is to meet with multiple job hunters for a position in a matter of days or even a single day. Some companies extend job offers to the top candidate within hours of meeting him or her, while others conduct follow-up interviews with their top picks within a few days and then select a winner.
There are drawbacks. Erika Weinstein, a New York-based executive recruiter, says the strategy increases the risk of making poor hiring decisions, which can lead to greater employee turnover. Accepting an offer quickly can also hurt candidates who fail to develop a strong understanding of the job and company culture, she adds, and she urges professionals to talk to current and former employees about the company and meet with likely co-workers before making a career move.
But speed interviewing has the advantage of allowing recruiters to quickly size up candidates against one another, says Brian Kapusta, a compliance manager at PNC Financial Services Group Inc. The Pittsburgh-based company began using the method earlier this year, mainly for customer-service and operations positions at its banking
branches.
Speed interviewing can also help employers eliminate candidates who are a poor cultural fit early in the recruiting process.
For job seekers, participating in several interviews at a company over a short time period can make it easier to assess the opportunity at hand. When the meetings are spread out and mixed with interviews at other companies, a candidate's early impressions can fade. Many job seekers also say they appreciate knowing as early as possible whether they have landed a position.
Source: Excerpts from article by Sarah E. Needleman - WSJ.com
$2.28 Billion invested in Michigan Companies
A new report released this week by the Economic Development Coalition of Southeast Michigan shows $2.28 billion invested in 68 Michigan businesses and projects with more than 4,000 new jobs created in the first half of 200.
The coalition - which includes Detroit Renaissance, the Michigan Economic Development Corporation, the Detroit Regional Chamber, Next Energy, Automation Alley and Detroit, Oakland and Macomb counties, among other major players in the economic development scene - was formed to spur economic growth in the area.
The report, says Doug Rothwell (CQ), president of Detroit Renaissance, was produced to highlight what's already happening in the region.
"We think that most people really don't appreciate the magnitude of investment and diversification that is already happening in southeast Michigan," he says. "We tend to read about these stories in small bits and pieces as they occur, but when you look back, it bodes well for the rest of the region and shows why people would want to do business here."
In addition to the 4,017 jobs created during the six-month period, the region retained 5,433 jobs in the businesses reported by coalition agencies.
Despite those numbers, there's a lot of work yet to do, Rothwell says. "I think we still have a ways to go," he adds. "I think we're doing much better than maybe we're given credit for."
Most of the jobs and companies the report reflects require a significant skill level, Rothwell explains, which may mean some workers would need additional training.
"People have to be prepared to continue education for their lifetime," he says. "That's a big change for people in their 50s and 60s."
Source: Nancy Kaffer - MetroModeMedia
