TACKLING TOURISM’S CHALLENGES Workforce housing, sta ng, in ation among top issues for Michigan

RACHEL WATSON

e ongoing labor shortage, lack of a ordable housing for workers and the challenges surrounding short-term rentals are among the top concerns of state tourism leaders as the peak summer season approaches.

Some 600 people in the industry gathered last week for the Michigan Economic Development Corp.’s Pure Michigan Governor’s Conference on Tourism at the Amway Grand Plaza Hotel in downtown Grand Rapids.

e event featured workshops, keynote speakers and networking opportunities. Featured speakers included Grand Rapids o cials including Mayor Rosalynn Bliss and

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Doug Small, president and CEO of Experience Grand Rapids; and statewide leaders including Kim Corcoran, executive director of Meetings Michigan, Amy Hovey, executive director of the Michigan State Housing Development Authority, and David Lorenz, vice president of Travel Michigan at the MEDC. Geo Freeman, president and CEO of the U.S. Travel Association, also had top billing as a keynote speaker.

Statewide perspective

Lorenz told Crain’s that some of the biggest hurdles he expects the Michigan travel and tourism industry will experience this year are how in ation and concerns over the economy may make travelers pull back on spending, ongoing caution because of the 3-year-old COVID-19 pandemic, and the labor shortage in the hospitality industry.

On the other hand, he said Travel Michigan has “the biggest budget for Pure Michigan we’ve ever had,” citing $30 million awarded from the state budget for the scal year that began in October, much of which will support the new Pure Michigan marketing campaign dubbed “Keep It Fresh.” e group also received $10.3 million from the Economic Development Administration, $9 million of which is going toward the Pure Michigan campaign.

Corewell. Stellantis. Biggby. What makes a new name stick?

In 1995, Bob Fish thought he had come up with a creative play on words for the name of his new East Lansing co ee shop. It wasn’t until after opening that he learned it was also a slur.

e co ee shop would franchise and spread to more than 60 locations before Fish and his business partner changed the name in 2007. ey eventually landed on a di erent play on words, Biggby, a phonetic reference to the brand’s block “B” logo.

e driving force behind Biggby’s rebrand may have been unique — at least outside pro sports — but name changes are becoming more common in the era of corporate naming rights and splashy M&A deals. e Democratic-led House Labor Committee, which did not vote, met before nonpartisan sta could release an analysis summarizing the legislation.

Corewell Health is one of the latest examples of a local company undergoing a major rebranding campaign.

After Grand Rapids-based Spectrum Health merged with South eld-based Beaumont Health last year, the new company mounted a full-court press to market its new name.

“‘Corewell’ is everywhere,” said Drew Patrick, CEO of Skidmore Studio, a Detroit-based brand agency.

Supporters, including labor unions and signatory construction contractors, said it is time to target unscrupulous businesses that eece people out of overtime, unemployment bene ts, workers’ compensation and retirement bene ts by misclassifying employees as independent contractors.

“It’s theft, and it robs working people of pay and bene ts that they’ve earned,” said Tom Lutz, president of the Michigan Regional Council of Carpenters and Millwrights. “Cheating contractors use underhanded schemes with labor brokers, shell companies, check-cashing stores that evade their legal obligations. ey fail to deduct and pay employment-related federal and state taxes to the tune of $8.4 billion a year across our country.”

Similar measures went nowhere when Republicans controlled the Legislature. But they could be on the fast track with Democrats in power.

Michigan uses an IRS test to determine if someone is an employee or independent contractor. Under the main bill, the de nition would be changed to one similar to California’s, “severely” restricting businesses’ ability to use such contractors and for people to work independently, said Wendy Block, senior vice president of business advocacy and member engagement for the Michigan Chamber of Commerce.

“In California, they carve out 109 types of workers, but this bill has no such exemption. is would go much further that what we’ve seen in any other states,” she told the panel, saying California exempts lawyers, accountants, private investigators, most direct salespeople, travel agents, grant writers, real estate appraisers, freelance writers and editors, and others from its newer test.