The top executives at Michigan’s largest companies have done an about face when it comes to the degree of optimism they hold for the future, especially in contrast to their answers to the same series of questions posed by Business Leaders for Michigan in the second quarter.
The results of the group’s recent trends survey reflect greater optimism, albeit hinging on prevention of a full second wave of the coronavirus and the resulting pandemic.
In a reversal of second quarter trends, the leaders of Michigan’s largest employers now anticipate the state and federal economies will stabilize and improve in the coming months.
While more than half of business leaders predicted worsening state and federal economic outlooks last quarter, 82-percent now say the U.S. economy will stay the same or improve during the next six to 12 months, while seventy-eight percent predict similar outcomes here in Michigan.
Business Leaders for Michigan President & CEO Doug Rothwell tells us, “Michigan’s largest employers collectively agree: the one factor that will determine whether our economy rounds the bend into safer territory is virus prevention.” Rothwell adds, “There appears to be growing confidence that we’re moving forward, with most employers and employees embracing the new normal and mitigating risk. What matters most now are efforts to prevent a full-on second wave of COVID-19, as well as a shared focus on the strengths that make Michigan an economic competitor over the long term.”
The latest survey data was collected earlier this month and shows 22-percent of Michigan employers anticipating job growth in their companies, and 26-percent expecting additional capital investment.
While a majority of Michigan job providers still indicate things will remain “about the same” for their own investment, as well as the U.S. and Michigan economies, that still is a marked improvement over second quarter results, which showed much higher levels of pessimism (53-percent projecting “worse/lower” in the U.S., and 51-percent projecting “worse/lower” in Michigan).
Quarterly Economic Outlook Reports from the organization are available at this link:
https://businessleadersformichigan.com/category/data/surveys/
Business Leaders for Michigan, the state’s business roundtable, is dedicated to making Michigan a Top Ten state for jobs, personal income and a healthy economy. The organization is composed exclusively of the executive leaders of Michigan’s largest companies and universities. Its members drive nearly 40-percent of the state’s economy, generate over $1 trillion in annual revenue and educate nearly half of all Michigan public university students. You can find them on Facebook, Twitter and LinkedIn.
