Why Talent Attraction and Retention Matters for Northern Michigan’s Future
By Sam Bailey, Strategic Initiatives Manager, Northern Lakes Economic Alliance
For years, businesses across Northern Michigan have consistently shared one challenge with the Northern Lakes Economic Alliance: finding and keeping employees.
Workforce shortages affect more than individual companies. They impact housing, healthcare, education, local services, and the overall vitality of communities. A strong economy depends on a strong labor force with diverse skills and experiences. Maintaining a healthy workforce requires intentional efforts to retain current residents, increase local labor force participation, and attract new talent to the region.
Understanding the Demographic Challenge
While Northern Michigan’s population has grown slightly in recent years, the numbers tell a more complex story.
Federal data reveals that the region’s growth has largely been driven by in-migration, helping offset a natural population decline as deaths outpace births. As there are fewer children in the region, fewer people are growing up to fill seasonal jobs during school breaks and ultimately enter the workforce as adults. At the same time, the data shows the region’s population is aging faster than the state as a whole.
Between 2010 and 2023, the share of residents age 60 and older increased significantly, while the prime working-age population—adults between the ages of 25 and 54—declined at nearly twice the rate experienced statewide, according to the US Census Bureau.
These trends matter because prime working-age adults are a vital component of a healthy labor force. This demographic is most likely to have completed their schooling and be fully engaged in the workforce; they are also more likely to buy a home, start a family, and engage in other economically important activities. As more residents retire, fewer workers are available to fill jobs, support businesses, and sustain economic growth.
Although recent migration trends have brought encouraging signs and modest growth among prime-age adults, long-term projections from Michigan’s State Demographer indicate that demographic pressures will continue to challenge the region’s workforce.
Why Employers Are Adapting
Businesses throughout the region recognize that attracting and retaining talent requires more than simply posting job openings.
Today’s workforce faces challenges that extend beyond wages, including housing availability, childcare access, transportation, and work-life balance. As a result, many employers are finding innovative ways to support employees and remain competitive.
Some businesses are offering greater workplace flexibility through hybrid schedules or adaptable hours. Others are investing in employee development and creating workplace cultures that encourage long-term retention.
Employers are also stepping into issues that have traditionally fallen outside the workplace.
With regional housing assessments identifying the need for thousands of additional housing units, some companies are providing employee housing, transitional housing, or down payment assistance programs. Likewise, as much of the region continues to face limited childcare availability, several employers have taken the unusual step of establishing childcare facilities to better support working families.
To learn more about the workforce strategies local employers are implementing to overcome staffing constraints, visit the Regional Talent Solutions Report, which the NLEA compiled in the fall of 2025.
Building the Next Generation Workforce
Long-term workforce success also depends on cultivating future talent.
Businesses are partnering with schools and educators to introduce students to career opportunities available close to home. Programs like Manufacturing Day, MiCareerQuest, and other industry tours help students better understand the wide range of careers available in Northern Michigan and create connections that may lead to future employment.
At the same time, employers are expanding their talent pipelines through internships, apprenticeships, and recruitment efforts aimed at attracting new residents and workers to the region.
A Regional Challenge Requires Regional Solutions
No single employer, industry, or organization can solve workforce challenges alone.
Addressing demographic trends will require collaboration among employers, educational institutions, local governments, and community organizations. It will also require continued efforts to make Northern Michigan a place where people can build careers, raise families, and enjoy a high quality of life. That’s why the NLEA continues to work alongside employers, educators, and community partners to strengthen talent attraction and retention across the region. Recent efforts include hosting Staffing Up: Innovative Solutions, an employer event focused on addressing workforce challenges; publishing the inaugural Regional Talent Solutions Report to highlight strategies local businesses are using to recruit and retain employees; and supporting the Little Roots Childcare Center in Petoskey, which has already added 36 new childcare openings since opening earlier this year. In May 2026, the NLEA also launched a regional talent attraction marketing campaign featuring local employees sharing why they chose to build their careers in Northern Michigan, helping showcase the opportunities and quality of life that make the region an attractive place to live and work.
Retaining and attracting prime working-age adults is essential to maintaining the economic vitality of the region. By investing in people and creating communities where workers want to live and work, Northern Michigan can continue to build a resilient economy for generations to come. Read more about this and download the latest Economic Pulse Report.
