Lower skill jobs dominate latest look at region’s employment statistics

The people who keep track of all the jobs and employment numbers in the region are noticing some potentially concerning facts about the jobs that are available and the applicants who are looking for those jobs in Southwest Michigan.

Kinexus Group says there were fewer new job postings in May… 14% less than a year ago.  And there are currently 30% less active job postings.  Of those active job postings, a greater number, almost 50%, are for low skill, lower paying positions.  Employers say they are still struggling to fill openings; however, an analysis of the wages being offered shows a decline in compensation for those low skill jobs.

Meanwhile, there are fewer mid and high skill jobs available in Southwest Michigan.  Postings for mid-skill jobs are down 33% and for high skill jobs down 23%.  It’s not immediately clear what’s driving that slackening in the demand for more skilled employees.

Health care and related jobs are the dominant sector looking for employees in the region.  Kinexus acknowledges that the continuing ‘build out’ of the Corewell Health System merger and reorganization continues to be a significant factor in expansion of health care jobs in the region.  Fully 25% of active job postings in May were health care related.

Kinexus CEO Todd Gustafson likened Corewell to a city.  “It operates 24/7, it needs workers of all types, not just medical personnel,” said Gustafson, explaining that Corewell hires a wide range of employees at every skill level from laborers to medical specialists.  It has become the largest employer in Berrien County.

Kinexus analysts see a cloud on the horizon as they look at the three-county region’s workforce:  it’s 19% older than the national average.  That fact can impact on employers’ decisions on where to expand their operations and is an issue Southwest Michigan leaders need to be aware of as they prioritize education and job training decisions in coming years.

Kinexus brings local business reporters together every couple of months for a review of employment statistics and trends and offers a detailed analysis.  Kinexus is an umbrella organization that ties together employment services, job training and economic development through several affiliated organizations, including MichiganWorks! .