Tagged: Changing Gears

Last year, everyone in the auto industry was chuffed about Detroit’s comeback.

The carmakers were enjoying a healthy rebound from the bankruptcies at General Motors and Chrysler. And for a while, at least, Chrysler outsold Toyota to make the Detroit Three the Big Three again.

But this year, Detroit’s market share has been slipping, and that has ramifications all across the Midwest.

In fact, the auto companies have fallen back to the market share level they held in 2009, as GM and Chrysler were struggling.

In a piece for Forbes.com, I look at what happened to the Detroit companies during the first quarter.

Basically, there are three issues: 

1) GM and Ford are losing share. In March, GM’s market share fell to a 90-year low. And while Ford’s car sales are up in 2012, they aren’t up as much as the competition. That’s one way a company can lose share, by not keeping up.

2) Toyota got stronger. Japan’s biggest carmaker was battered by millions of recalls, the tsunami and earthquake and floods in Thailand. But its market share is climbing back, thanks to new members of the Prius family, and the newest version of the Camry.

3) Korean and European companies are gaining. Hyundai and Kia are causing headaches for all kinds of automakers with their sales gains. Volkswagen is picking up market share, too, and it’s planning to build more cars at its new plant in Tennessee.

Here’s how Detroit’s market share looks, according to Autodata, Inc.

2012: 44.3 percent (through March)

2011: 47 percent

2010: 45.1 percent

2009: 44 percent

Changing Gears is partnering with Michigan Radio to collect stories about how people are planning ahead in light of the recession. You can read more stories about how Midwesterners' expectations are changing at the Changing Gears tumblr blog, http://chgears.tumblr.com.

Here's what some Midwesterners are saying:

"I wanted to be a stay at home mom, but we couldn’t have just one source of income and raise a family. Our fix? I opened a day care in our home. I treat it as my small business – which it is - and raise our child along with 3 others in her age range." -Ella Bensen

If you wanted to start life over in a new place, would you choose somewhere with a chronically high unemployment rate and struggling schools, or one that’s known as a haven for slackers? The latter is one way to describe Portland, Oregon.

It seems like everyone is talking about Portland these days. Part of that has to do with the success of Portlandia, a sketch comedy show that pokes fun at Portland’s young hipster crowd. As one character explains, “Portland is a city where young people go to retire.”

Tax incentives have become the weapon of choice among states battling for new business investments. Niala Boodhoo reported in December that offering incentives has become a sort of strategy game for Midwest states hoping to one-up each other as everyone fights to grow jobs. But, as Niala reported, these are games with millions of dollars in tax breaks and thousands of jobs on the line.

Michigan Radio and Changing Gears are collecting stories about how people are planning ahead in a tough economy, and we’d like your help. What’s on your mind as you plan for what comes next?

You can follow this link to share your thoughts.

We want to hear from you – whether you’re planning for retirement, saving for a home, sending kids to college, or just starting a career. If you’re retired, have you had to make some adjustments?

The ethanol refinery for Carbon Green Bioenergy rises up out of the cornfields outside Lake Odessa Michigan.

The refinery was built in 2006. Mitch Miller, the CEO of the company, says a lot of refineries were popping up then.

“Five years ago, ethanol was a craze,” he says. “It was the next best thing.”

Now, not so much. Refineries aren’t being built. Politicians aren’t stopping by with platoons of reporters.

Seriously, when is the last time you heard anyone talk about ethanol?

Jennifer Knightstep was a researcher in the media archives at General Motors until she was laid off in 2008. Her first reaction was fear.

“I panicked for a few minutes, and then I tried to think of what I wanted to do next,” she says. “There’s not a big demand for archivists in Metro Detroit or anywhere else for that matter.”

So instead of trying to get a similar job, Knightstep decided to go in a new direction.

“I thought maybe I should start trying to do what I really wanted to do, which was be a writer.”

When she filed for unemployment, she learned about No Worker Left Behind, a program in Michigan that offered up to $10,000 in tuition for degrees in emerging industries. NWLB was scaled back in 2010 following federal funding cuts.

When most people think about growing fields, freelance writing is not the first job that comes to mind, but Knightstep made it work.

Earlier this year, we told you about The 99% Spring, the protest movement sponsored by a variety of political and labor groups including MoveOn.org, the United Auto Workers and the Teamsters Union.

It’s part of a fresh wave of protests that are taking place across the country, in the wake of the Occupy movement.

Starting next week, 99% Spring events will be kicking off across the United States, and especially in the Midwest.

Supporters are vowing to train 100,000 people to “to tell the story of what happened to our economy, learn the history of non-violent direct action, and use that knowledge to take action on our own campaigns to win change.”

Over the weekend, the UAW sent an email to its members, encouraging them to take part.

“We are at a crucial point in America where if we continue to ignore the opportunity to rebuild this great country, then we risk losing the very essence of what has made this country great,” the email said. 

Some 918 events have been scheduled thus far. MoveOn.org, which is associated with the Democratic Party, has a locator for events, where you can put in your zip code and find those closest to you.

Here are the ones for the Detroit area, Chicago and Milwaukee, and Cleveland. To be sure, the 99% Spring movement hasn’t said what will happen once people are trained, but given the training events, it’s pretty clear it will meet its goal of training 100,000 people.

Are you planning to take part in 99% Spring? Let us know where and when.

Unemployment numbers in the Midwest are bad. Not as bad as when the recession was at its worst, but there are still a lot of people looking for jobs. Even so, we keep hearing that some employers can’t find enough skilled workers. Michigan Governor Rick Snyder says in his state alone, there are more than 77,000 job openings that can’t be filled.

There is really only one way to bridge that gap. People need training. And the way people are getting that training is changing.

Wendy Whitmore is the CEO of EMR Approved, a company in Chicago that works with doctors and hospitals that are making the switch to electronic medical records.

Four years ago, EMR Approved didn’t exist. Back then, Wendy Whitmore was running SSG Consulting, an IT consulting firm that wasn’t doing so well.

So she decided to try something new, and she took 12 of her employees with her.

Whitmore still runs SSG Consulting, and some of her employees straddle both businesses, but what they’re doing now is totally new.