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Michigan Initiatives brings you coverage of the latest news and events mounting the next great surge in state economic development. Through this coverage, MI will provide some imperative "connective tissue" between employers, business coalitions, economic development groups, academic institutions and government officials. By reporting on the robust efforts of these individuals and organizations, MI hopes to enhance and accelerate the pace of change toward new heights in prosperity and quality of life in our state.

Thursday, February 4, 2010

Relocation slowing, for better or worse

From a peak more than 18% in early 2009, relocation among job seekers slowed in the second half of the year, with only 7.3% of these workers taking positions in new towns during the fourth quarter, according to a report by the Chicago-based outplacement firm Challenger, Gray & Christmas.

The trends may represent both good news and bad news for Michigan. On one hand it could represent a slowdown in outbound traffic of workers. On the other, it could make it more difficult for the state to attract employees to transitional business sectors.
"In the 1980s and early '90s, the workplace was dominated by baby boomers, who seemed more open to changing their zip codes and move up the corporate ladder," observes company CEO John Challenger. "Now this population appears to have hit an age where they are more settled in and less likely to move. The younger generations coming up behind the boomers seem less willing to pull up their roots for a job. They are more likely to relocate based on lifestyle versus occupational choices."

Challenger says that could pose problems for recruiters as the economy improves, forcing employers to depend more on local talent pools and/or adjust tailor recruiting pitches.

"In order to attract highly coveted candidates from out of town, they will have to offer something beyond a good salary and benefits package," according to Challenger. "Those based in regions that offer shorter commuting times plenty of recreational activities, a good culture and arts scene will attract quality candidates."

That could hand Michigan an advantage, given the state's abundance of natural resources for recreation, and its rich cultural traditions. Meantime, however, the state continues to see a disturbing flow of outbound traffic. According to the 2009 Migration Patterns analysis from Atlas Van Lines, Michigan ranks fourth among net outbound states (those shipping more movers out of the state than in) nationwide. Last year Atlas recorded 1,818 shipments out of the state, compared to 1,205 inbound.

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