Commentary: Federal change would worsen Michigan's talent crisis; we can fight back

While attending the Mackinac Policy Conference this year, talent and workforce were at the forefront of almost every discussion on the island. More than two years after a global pandemic forced businesses to drastically rethink talent strategies, employers are running out of creative solutions to address labor shortages. I heard the job creators in our state say over and over they desperately want politicians, government officials, educators and community leaders to focus on crafting relevant solutions to address the growing workforce challenges we face.

But there are changes being proposed by federal rule makers that would do the exact opposite. Michigan's ability to deliver substantive solutions is at serious risk as a result of newly proposed federal regulations that would decimate accessibility and human-power to deliver career support to approximately 675,000 job seekers annually, and to provide recruiting, retention and more talent attraction support to 32,000 businesses each year.

The U.S. Department of Labor is proposing a new "rule" — a change in the way programs are currently operated — for the delivery of these essential workforce services under the Wagner-Peyser Act. It wants these services to be provided by state civil service employees as opposed to the current model where local Michigan Works! staff are able to address the needs of companies and job seekers in their own communities.

Rule change proposal could force dozens of Michigan Works! locations to close

A federal rule change could impact the way employment services would have to be delivered and force the state's workforce development operation Capital Area Michigan Works! to close more than a dozen offices across the state.

The Wagner-Act was established in 1933 and Chief Executive Officer of the Michigan Works! Association Ryan Hundt said that act helped establish the workforce delivery system across the country.

“We can meet the labor challenges for businesses and helping them identify qualified talent and helping those individuals through the pipeline into the businesses in all regions of the state, and we also work very closely with job seekers as well to help them identify resources that they can have or they can access in order to maintain employment,” Hundt said.

Hundt said Michigan has a flexible model allowing Michigan Works! employees to be hands on.

“We have that locally responsive, flexible model where local Michigan Works! staff are the ones interacting with businesses and job seekers every single day, helping them to identify resources to be successful in today's global economy,” Hundt said.

MichiganWorks! opposes changes to Wagner-Peyser Act

MichiganWorks! West Central is opposing possible changes to the Wegner-Peyser Act that may impact their ability to assist clients, according to Jonathan Eppley, communications and marketing manager.

Eppley requested approval by the Big Rapids City Commission of a resolution opposing the proposed changes during a commissioners’ meeting this week.

US Department of Labor proposed rule could force Michigan Works! to limit services

A proposed rule from the Biden Administration is designed to help states improve unemployment processing. But Michigan Works! says the proposal would not help Michigan.

“We’re trying to get the U.S. Department of Labor to not implement this proposed rule change and let Michigan along with the other two states keep doing it like we’re doing it,” said Bill Raymond, CEO of U.P. Michigan Works.

Business groups lobby lawmakers, governor to create state-funded college scholarships

Several major statewide and local business groups are supporting a legislative proposal to award state-funded college scholarships to 2022 high school graduates, saying it would help deal with workforce and talent shortages.

The Michigan Achievement Scholarship program would give students attending in-state four-year universities and colleges up to $6,000 a year, while those at in-state community colleges or private occupational schools could qualify for up to $3,000 annually. More than three-quarters of this year's graduating class would be eligible.

The Republican-controlled Senate backed the $361 million initiative in its budget plan, with a goal of continuing the program into future years. Talks continue among leaders in the Senate, GOP-led House and Democratic Gov. Gretchen Whitmer's administration over tax cuts and spending priorities amid a multibillion-dollar budget surplus.

In a letter to lawmakers and the governor last week, leading business organizations said the scholarship funding would make postsecondary education more affordable and boost the number of people in the talent pipeline. The state's $1.8 billion higher education budget is lower than it was 20 years ago, even without adjusting for inflation.

"We want Michigan to continue to aim to be a Top 10 state for developing talent and attracting and retaining talent. In addition, we want Michigan to be a place for businesses to be proud to make their home. We believe the Michigan Achievement Scholarship funding in the FY 2023 budget will help accomplish this," they wrote.

Groups signing the letter include the Michigan Chamber of Commerce, Business Leaders for Michigan, Michigan Manufacturers Association, Associated Builders and Contractors of Michigan, National Federation of Independent Business, Home Builders Association of Michigan, Michigan Works! Association and many local chambers of commerce.

The scholarships would cover tuition or mandatory fees not already offset by need-based federal Pell Grants or Michigan's tuition program for Medicaid recipients. The state currently offers tuition-free community college assistance for adults ages 25 and older and frontline pandemic workers.

Michigan Community Colleges, Universities and Hospitals Team Up to Solve the Nursing Shortage

Michigan higher education and healthcare leaders today unveiled a collaborative plan to increase educational options to produce more highly-qualified nurses and address the nursing shortage across the state.

Manistee's Stacie Bytwork named Michigan Works! Association board 2nd vice chair

Stacie Bytwork, president and CEO of the Manistee Area Chamber of Commerce, was recently named second vice chair of the Michigan Works! Association Board of Directors.

Michigan Works! Association Announces New Board of Directors Member and Makes New Leadership Appointment

The Michigan Works! Association, the state’s primary workforce development association, today announced a new board member and a new second vice chairperson who will each help support the nonprofit’s work to continue to move the needle on policy, education and collaboration on vital workforce development issues.

Amanda Smith, executive vice president of the Michigan Restaurant and Lodging Association (MRLA), joined the Michigan Works! Association board as a member-at-large.

In addition to serving as the executive vice president of MRLA, Smith also serves as the executive director of the MRLA Educational Foundation and the Hospitality Training Institute of Michigan. Working closely with local public health officials, the Michigan Department of Agriculture and Rural Development, and the Michigan Liquor Control Commission, Smith directs the education programs for the MRLA. As the executive director of the Educational Foundation, Smith has grown revenues by more than 160 percent. She has expanded product offerings, including the 2020 launch of the Michigan Hospitality Industry Employee Relief Fund. Smith has successfully secured and managed many grant awards and state appropriations. Under her leadership, the Hospitality Training Institute of Michigan (HTIM) was launched in 2021. HTIM provides advancement opportunities for incumbent hospitality workers and is licensed as a proprietary school by the Michigan Department of Labor and Economic Opportunity.

“As the future of workforce development continues to evolve, the Michigan Works! Association, its members, and its board recognize the need to adapt by ensuring the Association has the most inclusive representation possible,” said John Kaczynski, chair of the Michigan Works! Association Board of Directors. “I am excited to add Amanda to the Association’s board. Her background and expertise in the hospitality industry is extremely valuable to the Board’s dedication to creating opportunity and career pathways for all, supporting the growth of business and industry, and creating innovative, responsive, and successful Michigan Works! network to build the workforce of tomorrow.”

Additionally, current board member Stacie Bytwork, President and CEO of the Manistee Area Chamber of Commerce, was elected to fill the board’s second vice chairperson leadership post that was recently vacated. 

For over seven years, Bytwork has led the Chamber through dynamic and visionary growth and has delivered programming on the needs of Manistee area businesses and the surrounding community. Her most recent accomplishment was the addition of an Economic Development arm to the Chamber to better serve the needs of Manistee County. She also initiated a county-wide leadership program that develops young professionals to be community leaders and assist with workforce retention goals.

“It is an honor to work with Amanda and Stacie to continue creating innovative workforce solutions for Michigan’s businesses and residents,” said Ryan Hundt, CEO of the Michigan Works! Association.  “These talented leaders will have a positive impact on the way we do business in the future by helping the Association continue as a national leader in advocacy, leadership, training, communication, and collaboration.”

More information about the members of the Michigan Works! Association Board of Directors can be found on the Association’s website.

Erasing thousands more criminal records could boost Michigan’s economy

Michigan Works, the state’s workforce development association, has helped provide expungement services to 20,000 people since Clean Slate went into effect. Chief Executive Officer Ryan Hundt views expungement as backing Michigan’s workforce, especially as employers scramble to find labor.

“It’s significant investment in ensuring that Michigan’s workforce has the ability to find sustainable employment and also helping our companies be able to look beyond some of these barriers that have been in existence for quite some time,” he said.

Restaurant workers find greener pastures in coding, hairstyling and auto manufacturing

What started as The Great Resignation soon became The Great Realization. Then, The Great Reshuffle. The Great Renegotiation. The Great Upgrade. The Great Rethink.

The terms coined to explain the mass exodus of workers who quit their jobs amid the COVID-19 pandemic are aplenty, but the sentiments are the same: American workers are retooling their career standards.