The repeal of Michigan’s Right to Work law will have significant impacts on the state’s business environment. During the decade when Right to Work was in place, Michigan experienced growth in new companies, expansion of existing companies, and an increase in the number of companies moving to the state.
Without Right to Work, Michigan will need to find more costly methods to attract economic development opportunities, such as offering upfront cash, deeper utility company discounts, and longer tax abatements. However, these methods may not be enough to offset the negative impact of the repeal on Michigan’s business environment.
The inconsistency in policy from one administration to the next is another issue that will negatively impact Michigan’s business environment. The repeal of Right to Work breaks down businesses’ expectations of consistency and may deter companies from choosing to locate or expand in Michigan. The lack of continuity in business policies continues to present a challenge for Michigan and may influence businesses’ decisions to stay in or come to the state.