2024 Business Leaders for Michigan Benchmarking Report Shows Progress, Along With Action Needed to Reach Top 10

Nov. 21, 2024

Business Leaders for Michigan (BLM) recently released its 2024 Benchmarking Report, which ranks Michigan 27th in the nation across key indicators measuring the overall economic prosperity of the state and its people.

Learn more about Michigan’s ranking in the BLM news release below.

DETROIT – Business Leaders For Michigan’s 2024 Benchmarking Report released today ranks Michigan 27th in the nation across key indicators measuring the overall economic prosperity of the state and its people. Results reflect recent gains in workforce participation, modest GDP growth and ongoing strength in business creation. While the state has made strides, the report underscores that significant work remains to improve drivers of growth in population, household income, educational attainment and talent attraction for Michigan to be competitive with top states.

“Michigan’s progress is encouraging and is something we can see and feel in communities around our state. To reach Top 10 though, we’ll need to focus on growth in population, high-wage job creation and education attainment,” said Jeff Donofrio, President and Chief Executive Officer of Business Leaders For Michigan. “Top 10 states are magnets for jobs and people and make it easy for entrepreneurs to start and grow businesses. To move from the middle to the top, we need to accelerate efforts to attract and retain talent, improve education, foster the innovation economy and provide a competitive business climate.”

Since 2009, when Michigan was ranked 49th, Business Leaders For Michigan has worked with a broad coalition to improve the state’s competitiveness and make it a Top 10 state. Significant achievements—such as enhancing economic development tools, expanding access to postsecondary education and career pathways and establishing stable growth policies—have built a strong foundation for job creation and growth.

How Michigan Stacks Up

The data and insights in Business Leaders For Michigan’s benchmarking reports are a resource for Michigan’s policymakers and business leaders to chart a consistent course to reach the Top 10.

The 2024 report tracks eight key metrics to measure the state’s current standing and growth for economic health, competitive position and how well Michiganders are faring compared to residents in other states. The organization updated the formula this year to incorporate benchmarks for business competitiveness and population growth. Michigan is ranked 27th overall, up from 31st in the last published report in 2022.

If Michigan were performing like a Top 10 state, the impact on Michigan residents would be transformative.

• Each household would see an increase of $6,400 in annual purchasing power—enough to cover a year’s worth of groceries for the average family.
• The state’s talent pool would include 325,000 more individuals with a degree or certificate, equivalent to the entire populations of Grand Rapids and Warren combined.
• About 239,000 fewer Michiganders would be living in poverty—providing financial stability to enough residents to fill Ford Field nearly three-and-a-half times over.

Learning from Top 10 states

Achieving a Top 10 ranking requires a sustained focus on holistic strategies that encourage investment, support entrepreneurship, foster growth across diverse industries, ensure Michigan’s talent is a differentiator and make it easier and more predictable to do business in the state. Leading states employ consistent strategies to drive growth over decades and across terms of office.

For example, Colorado and Texas, which are in the Top 10 year after year, have dynamic economies that allow their residents to prosper.

• Colorado is bolstered by a well-educated workforce that attracts high-growth businesses and provides the foundation for a thriving state economy. It’s ranked first for its highly educated workforce and fourth for median household incomes. It’s a national leader for importing top talent and a top destination for the tech industry.
• Texas offers one of the most favorable business climates in the nation and a massive labor force that contributes to dynamic growth opportunities for new and established businesses. It’s ranked third for both new business creation and business climate. Texas has catalyzed the opportunity afforded by its research universities to create a thriving innovation economy.

Business Leaders For Michigan’s reports, including the Compete to Win Plan, Holistic Economic Development Framework and the Community College Report, offer strategies to build a resilient, high-wage economy and skilled talent pool for Michigan’s future. Meaningful K-12 solutions are outlined in the Launch Michigan Framework and the Growing Michigan Together Council recommendations.

“Creating a future where every Michigander has a clear path to prosperity requires bold leadership and unified effort. It’s up to all of us to ignite change and make Michigan a Top 10 state through the opportunities we create, the progress we achieve and the lives that will be transformed,” Donofrio said.

Download the Top 10 Benchmarking Report here

About Business Leaders For Michigan

At Business Leaders For Michigan, we are united by an ambitious goal: making Michigan a Top 10 state for jobs, talent and a thriving economy. Our impact is driven by the direct involvement of CEOs from the state’s leading employers, whose organizations and people are integral to Michigan’s storied history and promising future. Together, we carry forward a bold mission, sparking collective action. Guided by research and diverse perspectives, we provide insights and develop strategies that bring people and ideas together to ignite change – for growth, shared prosperity and lasting progress. For all of us. For Michigan.