Michigan primary puts focus on Detroit's economic recovery

  • 12 years ago
At one time, it was the fifth wealthiest city in the United States --- a gleaming example of American ingenuity and might. Mention Detroit today --- and its seemingly endless streets of boarded up buildings suggest a city whose best days are behind it. Despite this, some say Detroit could be poised for a comeback.

One glimmer of hope for the auto industry is General Motors decision to re-implement the third shift - or graveyard shift - at its plant in Flint, Michigan. What this means is that guys like 34-year-old Tony McMillan can spend eight hours on their feet, building trucks, while most people are sleeping. McMillan says he wouldn't have it any other way.

SOUNDBITE: AUTO WORKER TONY MCMILLAN SAYING:

"I consider myself a lucky one that I can come to work everyday - whether it be 11 O'Clock at night, seven in the morning, 3 O'Clock in the afternoon. I'm just thankful that I have a job that I can provide for my family.

He installs steering gears and secures the bumpers for trucks like GM's Silverado HD - a work truck used on farms, construction sites and for oil exploration.

SOUNDBITE: AUTO WORKER TONY MCMILLAN SAYING:

"These things aren't cheap. They are heavy duty trucks. They are expensive. They are meant to last for a long time so the fact that they are selling and we are working three shifts, putting out 250 trucks every day, that says a lot about where are economy is going," McMillan said.

Every time a vehicle leaves the factory, auto workers like Kristi Benavides knows its her reputation and livelihood on the line.

SOUNDBITE: AUTO WORKER TONY MCMILLAN SAYING:

"There's definitely is a certain pride and we try to put out a really great product and we definitely want to keep things...we want to buy things American and keep the jobs here instead of going out of our country," Benavides said.

For some businesses, keeping jobs in the U.S. hasn't just been a novel idea - it's meant great profit.

Jack Aronson started Garden Fresh fifteen years ago selling jars of homemade salsa from his restaurant on the outskirts of Detroit. Today, he employs 450 people and his plant makes salsa and hommus to the tune of 100 million dollars a year. They've even started exporting to South Korea.

He attributes his success to a passion for his food and commitment to long-term success.

SOUNDBITE JACK ARONSON OWNER OF GARDEN FRESH:

"The first thing I say is put out a great product. A lot of people will do a sale and they will sell unbelievable amounts of the first time and I always say you can't fool the public a second time. You can fool them the first time but if they don't like their product they are not going to buy it again."

Aronson's focus on making salsa and a wide range of products including hummus using fresh products drove him research technology that would give his food a longer shelf life without having to add preservatives. Specifically, he has invested in something called HPP, short for 'high pressure processing,' which uses massive amounts of cold water pressure to kill mold, bacteria and other pathogens. For anyone who thinks that's a no brainer, there were many companies who balked at the hefty multi-million dollar investment necessary to even test the technology.

Since then, Aronson has been approached by some of the world's largest food companies to sell his business.

SOUNDBITE JACK ARONSON OWNER OF GARDEN FRESH:

"I had a fellow businessman say you turned down a hundred million, these are things you can't put a monetary value on. Are you out of your mind? Are you crazy --- actually? What I tell them is that what we have here, the camaraderie we have here, getting to work with your kids every day. It is things that...that you can't put a monetary value on."

In downtown Detroit, some are betting big that any resurgence in the area will have to included more than just the auto industry.

Their goal --- spelled out on a 10-story banner on the side of a skyscraper reads "Outsource to Detroit."

It's a message Ryan Hoyle, Director of Global Recruiting for GalaxE solutions, hopes reaches far beyond the city. The New Jersey based software and IT company have put a stake in the ground in Detroit committing to create 500 jobs there in five years.

Hoyle says recruiting people to the city requires a several prong approach according.

SOUNDBITE RYAN HOYLE, DIRECTOR OF GLOBAL RECRUITING, GALAXE SOLUTIONS:

"I mean you certainly have to target a population that is interested in working and living in a city environment and then to dispel the myths about Detroit, it's a simple matter of bringing them here and showing them. If you have multiple firms that are committed to offer them a career and not just jobs," Hoyle said.

And the secret to attracting top talent to live in the 'Rust Belt'? Guaranteeing them a night life. That's exactly what GalaxE solutions and other businesses like Quicken Loans are doing with these 'happy hours,' just feet from their offices. The hope is that in several years time, Detroit will be an IT corridor along the lines of Silicon Valley.

Deborah Gembara, Reuters.

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