Taxes, Talent, Energy and Sustainability

In southeast Michigan, the Big Three have long had a lot of clout in Lansing and are (or were) always heard. But there's a Big Three on the other side of Michigan, too. Steelcase, Herman Miller and Haworth account for a large chunk of all the office furniture made in the world, at 40 to 50 percent of all U.S. production, so their economic clout in Michigan cannot be ignored. So what ideas do the leaders of these key companies have for fixing the economic woes of the ailing Automotive State? Taxes and talent are a good place to start, said Brian Walker of Herman Miller. The MBT is flawed and favors some industries over others. It needs to be less complex and it needs to encourage investment in business into Michigan, not drive it away. The "root problem" behind business tax decisions in Michigan has been the government's "persistent budget shortfalls." Talent is what Michigan needs to grow a strong economy. Highly educated employees are "critical to success" at Herman Miller, said Walker. The problem is our federal government is too restrictive on work visas it offers each year. In two unrelated cases, foreign nationals who worked at Herman Miller after receiving higher educations in the U.S. weren't allowed to stay and work here -- so Herman Miller assigned both employees to the company's operations in the UK, which isn't so restrictive in immigration. The state's energy policy is a problem, said Dick Haworth. The Michigan Legislature is about to re-regulate the energy supply, to chose our suppliers for us, rather than leave it open to competition. "We need to make this a Right to Work state," said Haworth. Education in Michigan is "a failure," added Haworth. "We need to increase the level of education results "at a reasonable cost." Michigan needs to look in a mirror to see where it's not fit, said Jim Hackett of Steelcase. Our education system would be "love handles," he said, noting that in India the daily newspapers have a regular section on education to celebrate the kids' academic accomplishments in school -- and some of those schools are located in very poor areas. The Indians highly value education, to their benefit. All three of the West Michigan Big Three see a great opportunity in sustainability in manufacturing and business. Hackett said the office furniture industry "got ahead of the rest of the world" in practicing sustainability early on. Haworth noted that in the last 30 years, the big driver in business and the economy was information technology. "Sustainability is going to be the biggest driver of change in the next ten to twenty years," said Haworth. "If we lead in sustainability, that gives (Michigan) a competitive advantage," said Walker. Pete Daly, reporter