Detroit To Hire Again?
A report by the Center for Automotive Research in Ann Arbor MI concludes that Detroit will begin hiring again as soon as September, and should add some 46k jobs by 2016. According to Detroit News, the report is based on "interviews with Big Three officials and others in the auto industry," so, y'know… have that salt ready. The average age of UAW workers in Michigan is 50, and the majority of new hires between now and 2016 will be replacements for retiring and bought out workers. In fact, Michigan's 129k industry employees will dwindle to about 108k by 2016, says the report. Replacements for longtime UAW workers will fall under the new two-tier wage structure, meaning Detroit's hirings will not only be under replacement levels, but they will also contribute greatly to declining wages in the industry. Factor in projected labor shortages for skilled workers in Michigan, and the Detroit News' headline seems more than a little overoptimistic. But hey, this is what passes for good news in Detroit these days.