Survey: Michigan Firms Plan to Hike Wages Over Next 6 Months

While a growing number of Michigan’s small- to mid-size businesses are not satisfied with the economy, a recent survey indicates that more businesses plan to increase wages over the next six months.

In the semi-annual Future Business Index, a study funded by Lansing-based Accident Fund Insurance Company of America, the percentage of owners of small- to mid-size businesses who say they intend to increase wages bumped up four percentage points to 17 percent from the immediately preceding record low of 13 percent in April 2009.

“Business owners are simply not optimistic about the economy, with the highest number of them saying so in our survey,” said Keith Adkins, vice president of Marketing at Accident Fund. “But it’s somewhat positive that more of them plan to increase wages and there was a jump in the number who plan to increase their advertising spend. It demonstrates that business owners are continuing to invest in their businesses, even in these difficult times.”

That sentiment is echoed by Chris Holman, a longtime observer of business trends in the state of Michigan. “The business community in Michigan is a resilient bunch, and they recognize that it’s critical that businesses keep investing in their people and spending what they need to in promoting their product or service.”

The survey also suggests that these small and mid-size businesses take workplace safety seriously. This sentiment was expressed by the widest margin to date, with 77 percent of respondents professing workplace safety to be an “extremely high” or “very high” priority.

The survey results are available from Accident Fund at www.accidentfund.com/media/.