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AN INTRODUCTION TO
DEDICATED TO MAKING MICHIGAN A “TOP TEN” STATE
FOR JOBS, PERSONAL INCOME AND A HEALTHY ECONOMY.
THE ECONOMIC SCOPE OF
DEDICATED TO MAKING MICHIGAN A “TOP TEN” STATE
FOR JOBS, PERSONAL INCOME AND A HEALTHY ECONOMY.
Introduction
In 2009, Business Leaders for Michigan (BLM) was created by uniting business
leaders across the state to form Michigan’s first state business roundtable focused on
one goal – making Michigan a “Top Ten” state for jobs, personal income and a healthy
economy. Our organization provides a forum for the state’s top business and
education thinkers to set in motion a bold plan for harnessing positive change in our
state. Our work is defined by the Michigan Turnaround Plan, a holistic, fact-based
strategy to get Michigan’s economy back on track and to sustain our recovery.
Business Leaders for Michigan’s board members head up the state’s largest job
providers and universities, but our economic impact is far greater than the nearly
375,000 people that work directly for these enterprises in Michigan. This document
outlines the findings of an independent assessment conducted by Anderson Economic
Group that defines the scale of our economic impact on the state of Michigan.
The results of this study conclude that BLM member companies and universities:
• Employ people in almost every county of the state
• Generate more than $1 trillion in annual revenue and serve over 138,000 students
• Drive nearly one-third of the private sector economy
• Support 11% of total Michigan private-sector employment through direct job
creation
• Spend $31 billion on wages and benefits, more than 50% higher than the average
private sector compensation in Michigan
• Contribute approximately $1 billion in state income tax revenue
Business Leaders for Michigan members work here, live here, and raise their families
here. We are the companies that you and your neighbors have been served by or
worked for for years. We hope this report gives you a better understanding of our
commitment to Michigan and the role we play in helping accelerate our state’s growth.
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Who is Business Leaders for Michigan (BLM)?
Business Leaders for Michigan’s approximately 80 board members head up the largest
businesses and universities in Michigan. Our members are homegrown and, in many
cases, have been part of the state’s economic landscape for generations. Together,
they drive 32% of the state’s economy, generate over $1 trillion in annual revenue and
serve nearly one half of all Michigan public university students.
• Our private sector employers span all segments of the economy, from construction
and utilities to manufacturing and finance. The largest sectors among BLM
members are manufacturing, finance and education.
• Our universities enroll over 138,000 students, or 46% of the total enrollment in
Michigan public institutions of higher learning.2
BLM Companies by Sector
BLM Jobs by Sector
Manufacturing 38%
Financial activities 22%
Professional and business services 12%
Trade and transportation 9%
Leisure, hospitality, and other services 9%
Education 4%
Utilities 2%
Construction 3%
Information 1%
Manufacturing 41%
Financial activities 14%
Professional and business services 3%
Trade and transportation 16%
Leisure, hospitality, and other services 4%
Education 17%
Utilities 5%
Construction 0%
Information 0%
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JEFF M. FETTIGCHAIR OF THE BOARDChairman & CEOWhirlpool Corporation
TERENCE E. ADDERLEYExecutive Chairman of the BoardKelly Services, Inc.
KEITH J. ALLMANPresident & CEOMasco Corporation
G. MARK ALYEAPresident EmeritusAlro Steel Corporation
GERARD M. ANDERSON Chairman & CEODTE Energy
DAVID W. BARFIELD Chief Executive OfficerThe Bartech Group, Inc.
MARY BARRAChief Executive OfficerGeneral Motors Company
ALBERT M. BERRIZ Co-Managing Member, CEO,Board Member & Co-Owner
McKinley, Inc.
MARK J. BISSELLChairman & CEOBISSELL Inc.
LAURENT BRESSONPresident & COONexteer Automotive
JOHN C. CARTERPresident, Michigan Middle MarketChase
GREGORY J. CRABBPresident & CEOAmerisure Insurance Company
ROBERT S. CUBBINPresident & CEOMeadowbrook InsuranceGroup, Inc.
WALTER P. CZARNECKIExecutive VP & DirectorPenske Corporation
KURT L. DARROWChairman, President & CEO La-Z-Boy Incorporated
DAVID C. DAUCH Chairman, President & CEOAmerican Axle & Manufacturing
RICHARD L. DeVOREExecutive Vice President
President, Detroit &Southeast MichiganPNC Financial Services Group
DOUG DeVOSPresidentAmway
ALESSANDRO P. DiNELLOPresident & CEOFlagstar Bank
STEFAN O. DOERRSenior VP, Monomers Division,North America
BASF Corporation
J. PATRICK DOYLEPresident & CEO Domino’s Pizza
JAMES E. DUNLAPSenior Executive VP, Director of Regional &
Commercial BankingHuntington
MATTHEW B. ELLIOTT Michigan Market President &
Market Executive, GlobalCommercial BankingBank of America
WILLIAM CLAY FORD, JR. Executive ChairmanFord Motor Company
DAN GILBERTFounder & ChairmanQuicken Loans
DAVID GIRODATPresident & CEOFifth Third Bank-Eastern Michigan
DAN GORDONChairman of the BoardGordon Food Service, Inc.
RONALD E. HALL President & CEOBridgewater Interiors, LLC
RICHARD G. HAWORTHChairman EmeritusHaworth, Inc.
CHRISTOPHER ILITCH President & CEOIlitch Holdings, Inc.
MICHAEL J. JANDERNOABoard of DirectorsPerrigo Company
MILES E. JONESCo-Chairman of the BoardDawn Food Products, Inc.
HANS-WERNER KAAS Senior Partner & DirectorMcKinsey & Company
ALAN JAY KAUFMANChairman, President & CEOKaufman Financial Group
JAMES P. KEANEPresident & CEOSteelcase Inc.
JOHN C. KENNEDYPresident & CEOAutocam Medical
STEPHEN M. KIRCHERPresident & CEO,
Boyne Eastern OperationsBoyne Resorts
WILLIAM L. KOZYRAChairman, CEO & PresidentTI Automotive
BLAKE W. KRUEGERChairman of the Board,
CEO & PresidentWolverine World Wide, Inc.
BRIAN K. LARCHEChairman, CEO & PresidentEngineered MachinedProducts, Inc.
TIMOTHY D. LEULIETTEPresident & CEOVisteon Corporation
ANDREW N. LIVERISPresident, Chairman & CEOThe Dow Chemical Company
KEVIN A. LOBOPresident & CEOStryker Corporation
DANIEL J. LOEPP President & CEOBlue Cross Blue Shield of Michigan
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Business Leaders for Michigan Board of directors - 2015
EVAN D. LYALL Chief Executive OfficerRoush Enterprises, Inc.
BEN C. MAIBACH III Chairman & CEOBarton Malow Company
DENNIS MANNIONPresident & CEOPalace Sports & Entertainment
RICHARD A. MANOOGIAN Chairman EmeritusMasco Corporation
FLORINE MARK President & CEOThe Weight Watchers Group, Inc.
CHARLES G. McCLUREManaging PartnerMichigan Capital Partners, LP
DAVID E. MEADORVice Chairman & CAODTE Energy
HANK MEIJERCo-Chairman & Co-CEOMeijer, Inc.
MICHAEL MILLERHead of Ann Arbor Office &
Director of Business &Industrial Markets Google, Inc.
FREDERICK K. MINTURNPresident & CEOMSX International
PAUL J. MUELLERPresident – Midwest RegionThe Hanover Insurance Group
MARK A. MURRAYCo-CEOMeijer, Inc.
JAMES B. NICHOLSONPresident & CEO PVS Chemicals, Inc.
WILLIAM U. PARFETChairman & CEOMPI Research
CYNTHIA J. PASKY Founder, President & CEOStrategic Staffing Solutions
ROGER S. PENSKE ChairmanPenske Corporation
WILLIAM F. PICKARD Chairman & CEOGlobal Automotive Alliance, LLC
SANDRA E. PIERCE Vice Chairman, FirstMerit CorporationChairman & CEO,FirstMerit Michigan
CHARLES H. PODOWSKI President & CEOThe Auto Club Group
JOHN RAKOLTA, JR. Chairman & CEOWalbridge
MICHAEL T. RITCHIEPresident, Comerica Bank-Michigan MarketComerica Bank
DOUG ROTHWELL President & CEOBusiness Leaders for Michigan
ANDRA M. RUSHFounder & ChairpersonRush Group Family of Companies
JOHN G. RUSSELLPresident & CEOCMS Energy & Consumers Energy
MARK S. SCHLISSELPresidentUniversity of Michigan
J. DONALD SHEETSExecutive VP & CFODow Corning Corporation
LOU ANNA K. SIMON, Ph.D. PresidentMichigan State University
SAM SIMONCEO & ChairmanSimon Holdings
MATTHEW J. SIMONCINIPresident, CEO & DirectorLear Corporation
BRIG SORBERChief Executive OfficerTwo Men And ATruck/International, Inc.
ROBERT S. TAUBMAN Chairman, President & CEO Taubman Centers, Inc.
GARY TORGOWChairmanTalmer Bancorp, Inc.
HOWARD UNGERLEIDERChief Financial OfficerThe Dow Chemical Company
SAMUEL VALENTI III Chairman of the BoardTriMas Corporation
STEPHEN A. VAN ANDELChairmanAmway
BRIAN C. WALKERPresident & CEOHerman Miller, Inc.
THOMAS J. WEBBExecutive VP & CFOCMS Energy & Consumers Energy
THOMAS G. WELCH, JR.President & CEOFifth Third Bank-Western Michigan
GIL WESTExecutive VP & COODelta Air Lines, Inc.
M. ROY WILSONPresidentWayne State University
ROGER J. WOODPresident & CEODana Holding Corporation
WILLIAM C. YOUNG Chief Executive OfficerPlastipak Holdings, Inc.
This list represents the board
members at the time of printing.
For a current list, visit
businessleadersformichigan.com
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What We Do
BLM’s work is concentrated on developing strategy, raising awareness, advocating
policy and championing initiatives that grow the state’s economy. Our work is defined
by the Michigan Turnaround Plan, a holistic, fact-based strategy to get Michigan’s
economy back on track and sustain it. Our organizational activities are guided toward
achieving the goals outlined in the Plan and we hold ourselves accountable for results.
For example, we post our annual work agenda online so policymakers and the public
can see where we are going. We are continually researching and benchmarking new
data and strategies to see how Michigan ranks in all areas of competitiveness
compared to that of Top Ten states.
Michigan Turnaround Plan
The Michigan Turnaround Plan is a three-step agenda to make Michigan a “Top Ten”
state for jobs, personal income and a healthy economy. The Plan sets forward the case
for change, targets achievable goals, identifies action steps and explains the potential
impact of change. It details what work is necessary to further strengthen our state’s
competitiveness and put our state on a solid path to prosperity. The Plan includes the
New Michigan strategy, which identifies existing Michigan assets that we believe, based
on solid data, can be leveraged to accelerate job growth and transition to a New
Michigan economy over the next 10 years. By capitalizing on our core strengths, we
have the potential to add up to 230,000 jobs and grow the personal income of each
Michigan resident by as much as $14,000 during the same time period.
What Motivates Us
Our investment in Michigan is more than financial – it’s personal too. Our members work
here, live here and raise our families here. We are the companies that you and your
neighbors have worked for or have been served by for years. All across Michigan, our
members are supporting communities and working to revitalize the state’s economy.
They “walk the talk” of private sector leadership by creating local jobs, reinventing
neighborhoods and downtowns, and encouraging innovation in all that they do.
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$90,000 –
$80,000 –
$70,000 –
$60,000 –
$50,000 –
$40,000 –
$30,000 –
$20,000 –
$10,000 –
Business Leadersfor Michigan
MichiganPrivate Sector
United StatesPrivate Sector
$83,234
$53,116 $56,738
Jobs at BLM Companies
The companies and universities that make up Business Leaders for Michigan
employ nearly 375,000 people in Michigan, equivalent to 11% of the state’s
private-sector workforce. Our companies have employees in almost every
county in the state.
Business Leaders for Michigan companies provide well-paying jobs. The estimated
average annual wage for employees at BLM member companies is over $68,000 a
year. These employees also receive over $15,000 a year in benefits, on average, for
a total average compensation of $83,000 per employee. This is more than double
the average compensation of private sector employees in Michigan and 40% higher
than the nationwide average compensation. Wages paid to BLM company
employees make up 15% of all private sector wages and salaries in the state.
Benefits paid to BLM company employees make up over 25% of all benefits paid to
private sector employees in Michigan.
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Gogebic
S
Ontonagon
I
Average AnnualCompensation of BLM Employees
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Iron
Delta
Luce
Kent
Marquette Alger
Chippewa
Huron
G
Sanilac
BaragaO on
Ionia
Lake
Bay
Allegan
Schoolcraft
Oakland
Barry
Clare
Houghton
Mackinac
Iosco
Tuscola
Alcona
Cass
Eaton
Lapeer
SaginawNewaygo
Menominee
St. Clair
Wayne
JacksonCalhoun
Alpena
Gratiot
Lenawee
Clinton
Ottawa
Antrim
Berrien
Dickinson
Mason
Ingham
Isabella
Montcalm
Oscoda
Branch
Monroe
Otsego
Hillsdale
Genesee
Osceola
Oceana
Wexford
CheboyganEmmet
MecostaMidland
Ogemaw
Gladwin
Kalkaska Crawford
Washtenaw
Manistee
Van Buren
Livingston
Macomb
Presque Isle
Missaukee
Arenac
Kalamazoo
Muskegon
Benzie
St. Joseph
Roscommon
Leelanau
Charlevoix
Shiawassee
Montmorency
GrandTraverse
Keweenaw
Chippewa
Charlevoix
Number of Employees at BLM Companies by County
Number of Employees in 2009
999 and less
1,000 - 4,999
5,000 - 9,999
10,000 - 19,999
40,000 and more
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Economic Impact of BLM Companies in Michigan
The economic scope of Business Leaders for Michigan companies extends beyond
their own employees and compensation. As they spend money at businesses
throughout the state and hire local Michigan workers, they support industries
statewide. We estimate that throughout the state of Michigan $53 billion in
earnings (32% of private sector earnings) is supported by the economic activities
of BLM member companies.
$53 Billionin earnings
Other Business Activity
In 2013, BLM companies spent $47 billion in Michigan on goods and services in
addition to the $31 billion spent on wages and benefits for their employees. Their
nonpayroll expenditures are equivalent to 12% of the state’s entire economic activity
(as measured by gross state product).
Also in 2013, BLM employees paid an estimated $1 billion in state income taxes on
compensation received. This represents almost 15% of total state income tax paid
in that year. Finally, BLM companies had over $1 trillion in total revenue in 2013.
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We all have a role in bringing Michigan back
BLM works hard to encourage others in Michigan – businesses, policymakers,
grassroots organizations, and taxpayers – to play a role in actively building our state’s
economic recovery. Our outreach efforts include educating the public through annual
Leadership Summits, regional forums and events. BLM also operates two political
action committees to support state and local level candidates who support the
Michigan Turnaround Plan.
A Commitment and a Promise
We commit to serving as a catalyst, advocate and champion to transform Michigan’s
economy. We believe that a vibrant Michigan economy will make our state a place
where business wants to invest and people want to live and work.
We promise to sustain our effort for the long-term and take an active role in leading this
transformation. We will work beyond political terms to sustain the effort. We will focus
on achieving the Michigan Turnaround Plan goals and welcome different ideas for
achieving them.
Learn more about Business Leaders for Michigan at businessleadersformichigan.com
and about our plan for turning the state around at michiganturnaroundplan.com.
Methodology
This report was prepared for Business Leaders for Michigan by Anderson Economic
Group, LLC.
The data presented in this report is from several sources. All BLM member
companies were sent a detailed survey, requesting information on industry,
employment, wages, benefits, nonpayroll expenses, and total revenue in Michigan.
Nearly 63% of companies responded to the survey. Respondents represented over
72% of total employment among BLM members, according to our estimates. AEG
estimated missing data based on industry averages, annual reports of publicly-
traded companies, other companies’ survey responses, and survey responses from
a similar survey administered to BLM members in 2011.
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600 Renaissance Center, Suite 1760 • Detroit, MI 48243-1802 • 313.259.5400 • BusinessLeadersforMichigan.com
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