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Michigan Business Leaders Grapple with Economic Uncertainty

  //food-wine.news-articles.net/content/2026/02/26 .. s-leaders-grapple-with-economic-uncertainty.html
  Published in Food and Wine on Thursday, February 26th 2026 at 20:49 GMT by inforum
      Locales: Connecticut, Massachusetts, Rhode Island, UNITED STATES

Detroit, MI - February 27, 2026 - Michigan business leaders are navigating a complex economic landscape marked by cautious optimism, persistent talent shortages, and the rapidly evolving influence of Artificial Intelligence (AI). A recent discussion featuring Doug Betsinger of the Michigan Business Network, Jim Vlas, and Tony DeVito of Publips Communications highlighted the key challenges and opportunities facing the state's economy, revealing a delicate balance between established strengths and emerging disruptions.

While the Michigan economy demonstrates a noteworthy degree of resilience, a shadow of uncertainty lingers due to national and global economic factors. Inflation, though cooling from its 2024 peak, and fluctuating interest rates continue to present obstacles for businesses large and small. The specter of a potential national recession, a topic heavily debated by economists throughout 2025, remains a significant concern. However, Michigan's position as a cornerstone of the automotive industry, and its aggressive push toward electric vehicle (EV) production, offers a significant buffer against broader economic downturns.

"The automotive sector is still our engine," explained Betsinger during the discussion. "The investments we're seeing in EV manufacturing and battery technology are substantial, and that's providing a much-needed boost. But it's not enough to offset all the headwinds." The transition to EVs, while promising, also demands a skilled workforce capable of manufacturing and maintaining these new technologies - exacerbating an already critical talent shortage.

This talent gap isn't simply a matter of filling positions; it's a fundamental challenge to sustained growth. Companies across the state report difficulties in finding qualified candidates for a wide range of roles, from skilled trades to engineering and technology positions. This shortage is forcing businesses to delay expansion plans, limit production, and, in some cases, turn down contracts. Vlas emphasized the need for a multi-pronged approach to address the issue. "We need to invest heavily in vocational training, apprenticeships, and partnerships between businesses and educational institutions. We also need to attract talent from outside the state, but that requires making Michigan a more appealing place to live and work."

One area of significant discussion revolved around the integration of AI into the Michigan workforce. While leaders acknowledge the potential for increased productivity, innovation, and the creation of entirely new industries, they also express concerns about potential job displacement. The consensus is that AI is not a future threat, but a present reality. Businesses that proactively embrace AI and invest in employee training will be best positioned to thrive. However, those who fail to adapt risk being left behind.

DeVito pointed out that the conversation surrounding AI needs to shift from fear to opportunity. "It's not about replacing workers, but augmenting their capabilities. AI can handle repetitive tasks, freeing up employees to focus on more creative and strategic work. But we need to equip our workforce with the skills to manage and utilize these new tools." This necessitates a significant investment in reskilling and upskilling initiatives, potentially funded through public-private partnerships.

Michigan's unique position as a manufacturing powerhouse, particularly in the automotive sector, provides a foundation for navigating these challenges. The state's established supply chains, engineering expertise, and skilled labor base offer a competitive advantage. However, this advantage isn't guaranteed. Maintaining that lead requires continuous innovation, investment in new technologies, and a commitment to workforce development.

The leaders agreed that adaptability and collaboration will be crucial in the years ahead. Businesses, educational institutions, and government agencies must work together to address the challenges of talent shortages, economic uncertainty, and the disruptive potential of AI. Michigan's future economic success hinges on its ability to embrace change, foster innovation, and build a workforce prepared for the demands of the 21st century. The cautious optimism expressed by Betsinger, Vlas, and DeVito suggests a belief that Michigan is up to the task, but significant work remains to be done. The next two years will be critical in determining whether the state can successfully navigate these economic crossroads and solidify its position as a leading economic force.