Also, West Michigan has gained national attention as one of the hottest real estate markets in the country. Even so, there are a few challenges ahead. TALENT For the fourth consecutive year, talent remains the top concern for businesses and economic development organizations. With an unemployment rate hovering in the mid-three percent range, the region’s labor market is extremely tight. At theEconomicOutlookevent, Robeystated that, today, there are only an estimated 21,000 work-ready adults available for employment in the Grand Rapids MSA (Barry, Kent, Ottawa, and Montcalm Counties), which is causing increased employee turnover and “job hopping.” Given the challenge of finding talent, several West Michigan organizations have implemented initiatives to propel our region in the right direction. Just as this problem did not develop overnight, the solutions will take time to resolve. REGIONAL COLLABORATION As West Michigan continues growing and expanding, we must remain committed to regional collaboration. It’s the only way to compete on a global scale. That is why The Right Place is dedicated to building regional partnership throughout the 13-county region. Currently, we areworking on projects with partners inMuskegon, Oceana, Lake, Barry, Newaygo, Montcalm, and Ionia Counties. As these counties grow and prosper, so will West Michigan. Many of these counties have assets that complement those in Kent County.
NAFTA AND INTERNATIONAL TRADE
Thefinal issuepresentedbyKlohswasa larger challenge at a national level—the North American FreeTradeAgreement (NAFTA). In 2018, fewother national issues will have more of a direct impact onWest Michigan business than a potential renegotiation of NAFTA. And while there is always room for improvements and revisions, a full renegotiation – or the rhetoric surrounding a complete pullout of the agreement – could be disastrous to Michigan’s economy. Canada is Michigan’s largest trading partner. Michigan exports $23.5 billion in goods every year. There are few products and industries that wouldn’t be affected by a NAFTA breakdown. Agricultural commodities, office furniture, medical devices—name a product or industry and the chances are it is impacted by NAFTA. In fact, Michigan would be the number one most impacted state in the country by NAFTA. It is estimated that over 50,000 jobs in West Michigan are supported by international export business. WHAT CAN BE DONE? When it comes to NAFTA, it’s up to all of us here in the region to raise our concerns. At The Right Place, we’re doing our part through the International Economic Development Council (IEDC), our industry association, and strategic partnerships. However, you can also make a difference. By educating our elected officials on the importance of international trade and NAFTA, we can work to ensure Michigan’s international trade for the future. 2017 was a strong year for West Michigan’s economy. Companies showed growth, invested broadly, and created jobs in our community. We’re planning for the same – and more – in 2018. Like always, there are challenges and opportunities in front of us, but the difference is how we react and address them. That’s what will define the future for West Michigan. We look forward to working with you and supporting your individual company growth in 2018, and we wish you continued success in the year ahead.
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ECONOMIC OUTLOOK
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