U-M economists: ‘Unbalanced’ job recovery from COVID-19 will worsen income inequality in Michigan
Over the next two years, employment and incomes are forecast to increase, with Michigan’s construction and automotive industries expected to see growth. “On the one hand, it is encouraging that the recovery from the COVID-19 recession is likely to create a nearly complete jobs recovery in higher- and middle-wage industries,” the report says. In that scenario, Michigan would end 2022 with 152,000 fewer jobs than it had in the first quarter of 2020—a 3.4% shortfall. In level terms, personal income in 2022 is expected to come in 5.8% higher than in 2019. They forecast a recovery of 22,600 jobs in 2021 and 13,300 in 2022.