According to new analysis published by Forbes, Michigan sits in the middle of the pack when it comes to average salary. At $58,000, Michigan is below the national average for worker salaries. It missed that mark by $1,428 dollars. That’s still in the top half of all states, but not by much. If increasing your salary is high on your list of things to do, Massachusetts is your go-to state.
With an average salary of $76,600, Massachusetts topped the list for individual earnings. New York was number 2. California was third on the list. Washington state and New Jersey rounded out the top five. Salaries in the Northeast were the highest on average, while salaries in the south were the lowest. Salaries in the Midwest were in the bottom half, on average.
Among all Great Lakes states, New York delivers the highest salary, at $74,870, followed by Illinois at $63,930, and Minnesota at $63,640. The good news is that Michigan is not the lowest average earner in the region. That dishonor goes to Indiana, which weighs in at $53,500.
This news isn’t great if Michigan is trying to attract top talent and retain its young adult workforce. Earning below the national average means that Michigan workers and households are being closed out of opportunities to improve their prosperity. Additionally, it means that over time, Michigan – as we have seen -loses political clout. That translates into less federal funding over time.
Michigan could reverse its fortunes by creating economic opportunities
Losing prime age workers also creates its own problems. Michigan is unique among all states in that it was the only state last year to record a net loss in its Gen Z adult population. The outflow of the youngest adult workers makes it difficult to create new economic opportunities here. It will also make it difficult for the state to maintain its position in key industries like manufacturing and technology.
These misfortunes reverse if we focus on creating high-wage jobs. By raising the average Michigan worker’s salary above the national average, we may be able to reverse the flow of prime age workers. That’s going to take more than simply focusing on these high salary opportunities. It will also take housing construction, infrastructure repair and expansion, healthcare improvements, and building out the state’s clean energy infrastructure.
Michigan can be a hard sell due to its size and winter weather. That just means we need to work harder to attract new industries, new employers, and new workers.
Photo Credit: daBinsi , via Flickr
