LANSING – While they may not agree with every agenda item, four business executives gave Governor Rick Snyder high marks on Monday during a roundtable discussion by the Business Leaders for Michigan.
Half of the panelists said the recent corporate tax changes will mean their companies will pay more, but even so, businesses are happy to see stability in that area.
Cynthia Pasky, president and CEO of Strategic Staffing Solutions, said while her business will pay less tax, she plans on reinvesting that into employees.
For too long, her industry and company’s size prevented it from being on the “next it list, Pasky said. But under Snyder’s direction, the situation has changed.
“He is looking to create an environment that lets good leadership create winning companies and not pick favorites,” she said.
Patrick Doyle, president and CEO of Domino’s Pizza, said the tax changes will have little effect on the company, even if it has to pay slightly more.
The bottom line though is that no one wants to put a business in an uncertain environment and the Snyder administration has started to lay a solid foundation.
“People know what the rules of engagement are (on the business tax),” he said.
Wolverine World Wide, an international marketer for footwear and apparel, will be paying more business tax, said President and CEO Blake Krueger. But the company and Krueger personally supported the tax changes.
And Charles McClure, president and CEO of Meritor, a supplier of brake, suspension and axle parts, said the tax changes send the right signal.
“It’s not done,” he said of other changes the state has to make.
But what has been done so far has started to catch the attention of business executives in other states, McClure said.
And the panelists said that while they may not agree with every decision made by state leaders, it is up to the business community to stand by those decisions that are made for the long-term health of the state.
All of the speakers agreed that Michigan has to work on its image problem, which includes the perception that unions make it difficult to do business here. Some of that perception is looking in the rearview mirror and not the windshield, they pointed out.
But the union issue factors into the discussion about the total cost of doing business in Michigan.
Doyle said there are many ways to change Michigan’s “brand” in general, and Domino’s has had great success by confronting its image problem with new television ads highlighting its new pizza.
“You can’t change the brand unless you change the product,” he said.
Good taxes, regulatory system and infrastructure only get states “on the playing field,” Krueger said.
The top 10 states “have the luxury of working on their reputation,” he said.
The panelists also touched on the education community and how key it is to have a strong school system that produces a smart workforce. Pasky noted that in working in Lithuania, the university there tailored a curriculum to meet the employer’s needs within one semester.
And Krueger said Michigan is in a “global war” for talent.
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