Michigan Report: Immigrants Key to Economic Growth

Michigan needs immigrants to power its economy, and a new report shows exactly how this partnership can work for everyone.

The Michigan League for Public Policy released research revealing that immigrants are essential to solving the state's biggest economic challenges. Between 2012 and 2022, immigrants accounted for nearly 60 percent of Michigan's population growth, helping slow a decline that has left the state ranked second to last nationally for three decades.

The numbers tell a compelling story about integration and commitment. More than 80 percent of immigrants in Michigan have lived in the state for more than five years, putting down roots and building communities.

Scott Preston, a senior policy analyst at the organization, explained that the debate over immigration status misses a crucial point. The country simply hasn't created enough legal pathways to meet the labor demand driving the economy.

The workforce gaps are real and growing. Michigan needs 800 more physicians by 2030 just to maintain current care levels. Without addressing this shortfall, residents will face longer wait times for healthcare and higher costs for elder care.

Immigrants already make up 28 percent of Michigan's physicians, 30 percent of software developers, and 14 percent of auto manufacturing workers. They fill critical roles in construction, farming, and nursing homes, sectors struggling with hiring shortages. They're also more likely than native-born citizens to start businesses, creating jobs and opportunities.

The economic contributions are substantial. Immigrants contribute about $2.5 billion in state and local taxes annually, supporting schools, roads, and public services that benefit everyone.

The Ripple Effect

The report's policy recommendations focus on removing barriers and creating opportunities. Proposals include making driver's licenses more accessible, supporting H1-B visa workers with specialized degrees, and improving language access programs. Better training programs, credential transfer processes, and support services like childcare and transportation would help integrate newcomers into the workforce more effectively.

These changes matter beyond economics. Population decline affects Michigan's tax base, the sustainability of social safety nets, and even political representation in Washington. Pro-immigration policies could reverse trends expected to accelerate after 2030.

The report also addresses workplace integration, recognizing that about 70 percent of undocumented immigrants nationwide live in mixed-status households with U.S. citizen spouses or children. Creating welcoming environments attracts the workers Michigan needs while keeping families together.

Preston emphasized that filling labor gaps isn't just about business needs. It's about maintaining the quality of life Michiganders expect, from reliable healthcare to affordable elder care to thriving local businesses.

Michigan's path forward combines practical workforce solutions with human dignity, showing how immigration policy can serve both economic growth and community wellbeing.