Does Michigan Need Knowledge Jobs More Than Manufacturing Jobs?

Michigan is basically the kid who peaked in high school football glory and now shows up to the reunion wearing the old jersey, while everyone else is rocking real grown-up suits and tech jobs (oh, and bigger paychecks). Now, a UofM economist is sounding the alarm that Michigan's obsession with saving old-school auto factory jobs has left the state getting poorer because it totally missed the boat on the "knowledge economy" - those high-paying brainy jobs in tech, finance, and services that need college degrees and pay big bucks. 

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Here are Five Fast Facts on Michigan needing "knowledge" jobs:

1. 👀 Glory Days - Back in 1990, Michigan workers earned 9.5% more than the national average (6th highest in the country), but by 2024 they're now 4.2% below average...even with a low cost of living! Now it's less glory days and more "hey, wait up!"

2. 🤦 Not To Compare, But... - Adjusted for cost of living, Massachusetts workers make over $16k more per year than Michiganders, Texas folks earn almost $6k more, and even North Carolina (who used to trail by $9k in 1990) now beats Michigan by almost $600. Those states did it by graduating to knowledge industries like pharma, finance, and tech. Meanwhile, Michigan's still yelling "Go Blue...collar!"

3. 📉 Manufacturing Crash - The extra pay boost for blue-collar factory jobs dropped from $11,500 above the national average in 1990 to just $3k in 2024. And the share of blue-collar jobs fell from 33% to 27% - fewer greasy hands, and way less cash.

4. 🚗💨 Vanishing Act - Auto jobs vanished like socks in the dryer, as Michigan has lost about half of its auto manufacturing jobs since 1990. and even the fancy white-collar auto tech jobs packed up and moved to places like Silicon Valley and Tennessee.

5. 😖 Insult On Injury - Even the "high-wage" service jobs in Michigan pay peanuts. In 2024, Michigan's private-sector high-wage service gigs (think IT, finance) averaged just under $89k, which is $11k less than the national average.

🔥Bottom line: It appears the glory days of auto dominance are over, and clinging to them is making everyone poorer. The state needs a massive attitude switch to focus on attracting brainy, high-paying jobs, and to lure in rich companies and people who will bring those jobs with them. It's not a popular political position, but it's time to stop looking backward like a nostalgic grandpa, and without a big revamp Michigan might stay stuck watching other states party with bigger wallets. 

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What do you think about Michigan switching to knowledge jobs?

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