Interactive tracking for Michigan layoffs

A group of white male factory workers walk off an auto assembly plant floor

Upjohn Institute Michigan Layoff Tracker

In this report, Upjohn Regional presents an overview of layoffs that occurred or were announced in the third quarter of 2026 and discusses how these layoffs are similar to or different from the national trends and what implications they might have for the Prosperity Region and the state of Michigan. The Upjohn Institute Regional Team tracks layoff notices and provides quarterly updates on all large-scale layoffs across the state, illustrating the dynamic nature of the regional economy and providing a valuable tool for governments, economic development agencies, and nonprofits.

In addition to the regular update of the Michigan layoffs map and breakdown of layoffs by industry sector, this quarter’s update focuses on acquisitions and restructurings that have led to closures and layoffs.

Here are three key takeaways from the quarterly update:

  • Acquisitions of manufacturing companies that have ultimately led to closures (or part of a company closing) have left consumers with fewer options as conglomerates consolidate their portfolios.
  • Restructurings have contributed to job losses for many corporate or administrative employees as companies streamline their operations.
  • Continued trends in banking, health care, and automotive/electric vehicle manufacturing are contributing to more layoffs in Michigan.

The report is based on data provided by employers under the Worker Adjustment and Retraining Notification (WARN) Act. WARN is a federal labor law that requires employers with 100 or more employees to provide 60 days’ advance notice of a plant closing or mass layoffs. (In May 2020, the Upjohn Institute published research titled "ForeWARNing? Michigan’s Announced Mass Layoffs Under the WARN Act," The report is based on data provided by employers under the Worker Adjustment and Retraining Notification (WARN) Act. WARN is a federal labor law that requires employers with 100 or more employees to provide 60 days’ advance notice of a plant closing or mass layoffs.).

The map above examines the frequency and scale of WARN notifications issued in Michigan since 2016—the period before, during, and after the pandemic. The map shows that prepandemic WARN notices in Michigan were typically tied to seasonal factors or issues impacting the manufacture of durable goods. During the pandemic, layoffs increased, particularly in service industries. As the pandemic subsided, Michigan gradually recovered from the initial shock, and WARN notices are now in line with prepandemic levels. To see more detailed economic information for Michigan counties, please visit the Upjohn Regional Datahub

The “Multiplier Effect” Across Industries

The chart below groups the WARN notices by durable manufacturing (products that do not expire), non-durable manufacturing (products that expire quickly), service industries, and agriculture – exposing trends within the larger industry groupings. In addition to the direct employment losses announced by WARN notices, the chart represents the indirect loss in employment, output, gross regional product, personal income, and state and local government revenue due to affecting companies in related supply or customer chains. This represents the cumulative ripple effect that the layoffs have on the state economy due to multipliers for each sector of the economy.  These multipliers are a measure of an Industry's connection to the wider local economy by way of input purchases, sales of their products, payments of wages and taxes, and other transactions. The effects of layoffs are most pronounced in durable goods, followed by non-durable goods, services, and agriculture.

Warn Notices

Industry Multipliers

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Source: REMI, Michigan DMTB, and The Upjohn Institute • Dollar values are presented in millions

Layoff Overview (Q3 2026)

In Q3 of 2026, 13 companies issued WARN notices, announcing the loss of 2,899 Michigan jobs. Of those announcements, seven occurred during the quarter, affecting 1,748 jobs. One of those seven companies, Notions Marketing, retroactively submitted a WARN notice in early July for 181 jobs lost on June 28. The layoffs followed a June 11 warehouse fire that resulted in contaminated merchandise and canceled contracts. The CEO and chairman of Notions said that the company would set up a team to help affected employees find positions at supplier partners and customers. The remaining six notices are scheduled to occur between October 2026 and March 2027; they will affect 1,151 jobs. No WARN notices were announced by companies within Prosperity Region 8 (Berrien, Van Buren, Cass, Kalamazoo, St. Joseph, Calhoun, and Branch counties) during the quarter.

Continued Trends in Layoffs

Within the first two quarters of 2026, this publication identified trends that are affecting businesses and subsequently jobs in Michigan. Previously identified trends that have continued into this quarter include layoffs from Fifth Third Bank and Compass Group USA and disruptions in the automotive and electric vehicle market.

Fifth Third Bank recently acquired Comerica Bank and began consolidating the businesses in Q2 of this year. This change resulted in 502 layoffs that were scheduled to occur on July 1 at the Farmington Hills location, with more layoffs expected. Fifth Third announced another mass layoff in Auburn Hills scheduled for September 11, affecting 234 jobs. On September 8, a Fifth Third spokesperson confirmed to News 8 that the consolidation of the two businesses had been completed.

Beacon Health Systems acquired Ascension Borgess hospitals in southwest Michigan on July 1, 2025, and this transition still affects the labor market with some terminations and new job announcements. This resulted in the eventual termination of 376 positions from Compass Group USA on July 1, 2026, as Beacon Health moved its nutritional, environmental, and transport services in-house. In Q3, Compass Group USA announced an additional 311 layoffs to occur on July 24 across eight sites in Michigan due to a “loss of contract” through its food and nutrition services operation, Morrison Healthcare. This announcement was followed shortly by an additional layoff notice, from a loss of contract, of 168 jobs from five sites on September 25. Specifics on the contract, or contracted client, have not been released publicly by Compass Group USA. However, the following is known about the contract loss. First, the eight sites listed in the WARN notice are McLaren Healthcare Facilities. Second, the positions affected are all food service positions. Third, during the writing of this article, Compass Group USA still has two open positions at McLaren sites that were listed in the WARN notice. These postings are for a housekeeper and a food service worker. From this information it can be assumed that the contract loss was only for the food service operation (or part of the food service operation) of Compass Group USA at McLaren facilities.

Planned changes to the General Motors 2027 production in Lansing are currently affecting employment in Michigan. On January 14, 2027, General Motors will begin retooling their Lansing Grand River Assembly/Stamping plant and the Lansing Regional Stamping plant for new projects like the next generation Cadillac CT5. The Lansing plants currently manufacture the current CT5, which is scheduled to end production on December 17. It is unclear exactly how long that process will take, but previous retooling periods by GM have been a matter of months. During this period 350 employees will be laid off but may be eligible for either work at other GM facilities or unemployment pay, and many will likely be recalled at the end of the retooling. This retooling marks a definitive commitment to internal combustion engines from GM at this facility, as it was originally planned to receive an investment of $1.25 billion in 2023 to prepare for electric vehicle production. On December 31, Dakkota Integrated Systems will close one of their two Lansing facilities (Dakkota Grove 2), affecting 67 manufacturing jobs. Dakkota, which supplies interior cockpit systems for the GM Lansing Grand River plant and produces parts for the Oshawa, Canada, plant, did not state the reason for the closure. GM is also reportedly preparing to shift light-duty Chevy Silverado 1500 production from the Oshawa plant to focus on heavy-duty pickup trucks. Both GM and GM Canada have not confirmed this plan and insist the Oshawa facility will remain part of its manufacturing network.

SK Siltron closed its two facilities in Bay City on September 19 that will cause 130 layoffs, citing changes in the electric vehicle market. The company constructs silicon carbide wafers that can improve the charging speed and driving range of electric vehicles. Monitor Township officials are working with economic development groups to find another manufacturer for the site.

Closures, Acquisitions, and Restructurings

Six companies across Michigan announced layoffs that originated from acquisitions or restructurings. Layoffs due to restructuring have been announced for Trinity Health, Kroger, and Conduent Commercial Solutions. Layoffs due to acquisitions include Rugged Liner and Niagara Bottling. Meanwhile, Republic National Distributing Company will not conduct layoffs if they are acquired by Martignetti Companies.

Trinity Health and Kroger are both looking to outsource parts of their business soon as part of a restructuring plan. The companies are outsourcing office worker positions that used to be done internally. On June 18, Trinity announced their plan to remove some technology and information support positions that were performed in-house in favor of a vendor that specializes in modern technology infrastructure and service delivery. In a post on their website, Trinity clarified that only technology and information roles that involve internal technology support services, including the service desk and applications support, will be affected. The layoffs will begin on October 25 and end on November 11. Moreover, Trinity acknowledged that financial pressures from “significant reimbursement cuts, low reimbursement that does not cover the true cost of care, critical staffing shortages, and the rising cost of care for underinsured and uninsured patients” also attributed to the decision. Trinity has not responded to inquiries about what vendor it plans to use.

Kroger has recently been going through restructuring and is now nearing the end of their process to close 5 percent (60) of their stores. The decision was made so future investments could be made for the “customer experience” at the remaining Kroger locations. The Kroger at 3288 Corunna Road in Flint Township will close on September 30 as part of this reorganization, affecting 68 jobs. Kroger has stated that it will offer roles in other stores to all associates currently employed at closing locations. Overall, the past two years have been turbulent for the grocer. First, Kroger had been planning to acquire Albertsons, but that deal was blocked by a federal judge in December 2024. This has resulted in ongoing litigation between Kroger and Albertsons that will culminate in a trial on October 19, 2026. Additionally, Kroger issued multiple waves of layoffs throughout 2025, including cutting 1,000 corporate jobs. Throughout 2025, many executive staff at Kroger also left the company, including the former CEO after an investigation into his personal conduct. Now there are concerns from industry consultants that Kroger could be making additional staffing cuts over the next two years as it works to complete its Kroger Capability Center in India.

Conduent Commercial Solutions—a subsidiary of Conduent, a global digital business solutions and technology service company—specifically provides business process outsourcing like customer support and processing claims. On August 28, Conduent terminated 15 remote jobs in Michigan due to a stated “change in business needs.” In May and June of this year, Conduent announced the sale of its public transit business and tolling business. Conduent stated the sale, “advances our strategy to simplify our portfolio, sharpen focus on our core businesses, and strengthen our financial foundation.” Restructurings at Kroger, Trinity Health, and Conduent Commercial Solutions illustrate how market and financial pressures are increasingly translating into layoffs among corporate, administrative, and other non-frontline workers as large employers reduce costs and adapt their operations.

Rugged Liner manufactures bed liners, bed covers, and wheel well guards mostly for domestic truck brands. In 2017, the Owosso-based company was acquired by the Ann Arbor-based automotive accessories company, RealTruck. Under the RealTruck umbrella are approximately 30 brands that also supply exterior truck accessories, which RealTruck has slowly acquired and integrated into its portfolio. On March 19 of 2027, Rugged Liner will close its two facilities in Owosso. While the reason was not directly specified in the WARN notice, the delayed layoff is likely to signal a wind-down so RealTruck can finish orders and transfer assets to one of its other brands. Absopure is a bottled water manufacturer that was recently acquired by Niagara Bottling earlier this year. Now, due to a company reorganization, Niagara will close a Plymouth facility that was previously owned by Absopure, which will cause 86 layoffs. At the end of 2025 Niagara similarly laid off 85 employees from a former Silver Springs Bottling Company plant in Ocala, Florida, which it had acquired in the summer of 2025. The acquisitions and closures of Rugged Liner and Absopure both represent market concentrations, in their respective industries, that leave consumers with fewer options that are not sourced from a single conglomerate.

Republic National Distributing Company (RNDC) issued a WARN notice that would affect 641 Michigan jobs at five distribution facilities across the state. However, these layoffs are contingent on a planned acquisition from Martignetti Companies, so it is unclear how many jobs are at risk. RNDC is one of the largest drinks distributors in the United States in the wine and spirits wholesalers’ industry and has faced financial pressures since failing to adjust to a decline in alcohol demand post-Covid. RNDC filed for Chapter 11 bankruptcy protection on July 26 to pursue selling off pieces or specific markets of the company, while winding down parts of the business that cannot be sold. While the RNDC’s joint ventures in New York, Illinois, Ohio, Michigan, Indiana, and Kentucky are not part of that filing they can be monetized to address the company’s debts. RNDC has already transferred 11 Markets to Reyes Beverage Group in May of this year. If the full 641 layoffs were to occur in Michigan, that would represent 43 percent of NAICS 424820 (Wine and Distilled Alcoholic Beverage Merchant Wholesalers) and 15 percent of the broader NAICS 4248 (Beer, Wine, and Distilled Alcoholic Beverage Merchant Wholesalers) in Michigan, as depicted in Figure 1.

The Q3 2026 WARN notices in Michigan demonstrate that employment disruptions are increasingly being driven not only by declining demand or facility-level business conditions but also by broader changes in how companies organize, consolidate, and invest in their operations. Acquisitions have led to the closure or consolidation of previously independent facilities, while corporate restructurings and outsourcing have shifted job losses beyond traditional manufacturing occupations into administrative, technology, and other support positions. Although no WARN notices were announced in Prosperity Region 8 during the quarter, the statewide trends remain relevant to the region because they illustrate the types of restructuring and market changes that can affect local employers and workers. As Michigan continues to navigate these changes, monitoring WARN notices alongside broader industry and employment trends can help regional leaders identify emerging risks, anticipate workforce needs, and respond more effectively to economic disruptions.


Layoff Overview (Q2 2026)

Since Quarter Two of 2026, seven companies have issued WARN notices, which will affect 1,677 Michigan jobs. Although these layoffs were publicly announced in the second quarter of 2026, only four took place in that quarter, affecting 854 jobs. The remaining three notices were informing jobholders of scheduled layoffs to occur from July to December, affecting 823 jobs. In Prosperity Region Eight, only one layoff notice was announced in the second quarter of 2026, for the Menards store in Three Rivers. It became effective on May 13, affecting 68 jobs. Moreover, this layoff was only a temporary response to the EF2 tornado that damaged the store in March, forcing it to close for several weeks. It partially reopened on May 22.  However, during this quarter, three firms (Spirit Airlines, Fifth Third Bank, and Daifuku Services America Corporation), all located in Prosperity Region Ten (Wayne, Oakland, and Macomb Counties), announced layoffs affecting 1,194 jobs.

Of those 1,194 jobs, 502 represent layoffs from Comerica Bank’s operations center in Farmington Hills, as Fifth Third Bank consolidates the two businesses after officially acquiring Comerica in early 2026. This acquisition made Fifth Third the ninth largest bank in the United States.  Additional layoffs are likely to occur later this year as the company decides which branches to keep from the former two companies. In all, 75 branches are expected to close in Michigan.  Fifth Third pursued the purchase to leverage Comerica’s middle-market banking (consisting of companies with annual revenues between $20 million and $500 million) along with its branch footprint in Texas, Michigan, California, Florida, and Arizona.  

Continued Trends

The previous two updates to this report highlighted a continued downturn in the EV market, juxtaposed with rising fuel prices. In Quarter Two of this year, these trends continue to be attributed to layoffs within transportation-related industries.

From July 11 to October 31, Navitas Systems Inc. will terminate 82 employees because of a facility closure from reduced work. East Penn Manufacturing Co., Navitas Systems’ parent company, is a prominent lead battery manufacturer, while Navitas specializes in lithium-ion batteries.  Lead batteries are generally less expensive than lithium-ion batteries. However, lithium batteries are often seen as a better long-term investment when compared to lead batteries because of their reduced weight, longer run time, and longer lifespan. Navitas Systems has three locations in Ann Arbor. East Penn has been vague about which of the three facilities will close, but has stated that at least one facility will remain in the city. Additionally, East Penn is consolidating to refocus Navitas Systems on its “Motive Power” product line, which makes battery packs for forklifts.  Navitas Systems also offered two other main product lines: “Military Battery Packs” and “Transportation Battery Packs” (the latter for cars and trucks).  With the reported reduction of work and East Penn’s restructuring around “Motive Power,” it is unclear how the remaining product lines will be sustained.

As fuel prices remain high ($4 for all grades as of July 20th, on average, in the U.S.), industries reliant on petroleum will feel additional pressure as they balance pricing with profitability.  The WARN notices issued by Rec Boat Holdings LLC for 239 impacted jobs, and those by Spirit Airlines for 643 impacted jobs, demonstrate how rising fuel prices can push already struggling firms into closure.

Four Winns has been manufacturing boats in Cadillac since its founding in 1975. The brand was acquired by Groupe Beneteau in 2014 through its purchase of Rec Boat Holdings LLC. Glastron and Scarab Jet Brands are also part of the Rec Boat Holdings portfolio; all brands were manufactured at the Cadillac facilities, from which Groupe Beneteau is now seeking to divest.  Both Groupe Beneteau and Rec Boat Holdings attributed this decision to increased fuel prices, which made the company even less profitable in an already weakened recreational boat market.  Beyond the gasoline required to transport and operate a recreational boat, petroleum is also an essential input in the manufacturing process, leaving Rec Boat Holdings especially vulnerable to an increase in fuel prices. Some of the jobs affected by the WARN notice will remain until the end of the year so employees can prepare the facilities for a potential buyer.

Spirit Airlines issued a permanent layoff notice for all its locations on May 2, affecting 643 jobs at the Detroit Metropolitan Wayne County Airport (DTW) and thousands nationwide.  At that time, the airline ceased all operations, stating that the decision was driven by “the recent dramatic and sustained deterioration in business conditions—primarily the material and sustained run up in fuel prices.”  However, Spirit had had a long history of financial struggles prior to the increase in fuel prices. First, legacy airlines began offering lower base fares, like Spirit, but sweetened them with more enticing loyalty programs during a period of lower-than-average ticket prices in 2023--2024.  This stripped Spirit of its low-cost advantage—the thing that defined its business model—and further tightened its already thin profit margins.

Second, COVID left the company with billions of dollars of debt from rising operating costs.  And third, the company experienced issues with its Pratt and Whitney engines that grounded its aircraft for months at a time, starting in 2023.  Engines manufactured between October 2015 and September 2021 were subject to metal impurities which could lead to cracks. (This last factor also impacted airlines other than Spirit.)  These problems piled up as Spirit attempted to sell to JetBlue in 2023 (but was blocked by a federal judge), filed for bankruptcy twice in 2024, and failed to secure a bailout from the Trump administration earlier this year.  A crew of 130 to 150 employees will remain with the company to help oversee the liquidation process, primarily of aircraft (although about 83 percent of Spirit’s fleet was leased) and spare engines.

Daifuku Services America Corporation also issued a layoff at DTW for 49 jobs, citing a reduction in work. Daifuku engineers, manufacturers, and services automated material-handling solutions (conveyors, picking and sorting, and automated guided vehicles). While the exact reason for the reduction in work was not stated, DTW contracted with a different division of Daifuku in 2024 to upgrade its checked-bag screening equipment. That contract was set to terminate upon final payment for required services.  In 2024, Daifuku issued layoffs across Texas, North Carolina, California, Maryland, Illinois, and Colorado, affecting 441 jobs. The series of layoffs was due to Amazon changing maintenance vendors. 


2026 Quarter One WARN Notices Report and Analysis

Since January 2026, there have been 4 WARN notices issued for companies located within Prosperity Region 8, impacting 400 jobs. These notices include 160 jobs from Grouper Acquisition Company in Comstock that commenced on March 31 (as mentioned in the 2025 report), and 240 jobs from Compass Group USA across three sites in the region. Compass Group USA also issued WARN notices for 136 additional jobs at locations outside of Prosperity Region 8, specifically Allegan, Plainwell, and Madison Heights. In total, 376 jobs will be impacted by the Compass Group layoffs, which will commence on July 1, 2026. In 2025, Compass Group USA originally announced 244 layoffs that were scheduled to take place on July 1 of that year due to Beacon Health’s acquisition of Ascension Borgess. However, those layoffs never occurred because Beacon Health worked with Compass Group USA and established a service agreement for one year. Now that the one-year service agreement extension is soon to expire, Beacon Health is moving its nutritional, environmental, and transport services in-house for the affected locations. Beacon Health is encouraging former Compass Group USA employees to apply for positions through Beacon’s standard hiring process, but it is unclear how Beacon Health will minimize staffing disruptions or if every position eliminated from Compass Group USA will have a replacement under Beacon Health. 

Continued Disruptions in the Electric Vehicle Market

During 2025, there were 25 WARN notices issued for manufacturers in the automotive industry (NAICS 31-33) in Michigan. At least 7 of these WARN notices cited tariffs or a general downturn in the U.S. market as contributing factors, specifically a slowdown in EV adoption and customer demand. This slowdown has continued to have lasting effects into 2026 as EV-related manufacturers in Michigan continue to restructure and lay off workers. Meanwhile, Americans are facing an increase in gas prices (Chart 1), while the new EV market in China and the EU continues to grow.

Our Next Energy (ONE) announced a layoff of 29 workers from their Novi location, stating: “Our largest EV customer suddenly and unexpectedly cancelled its contract with the Company.” This layoff follows ONE’s workforce reduction by 128 individuals in 2023. Additionally, ONE has received multiple incentive packages from Michigan since its inception in 2020. These incentives included $200 million from a SOAR grant, $15 million from a Jobs for Michigan Investment Fund loan, and a state essential services assessment exemption valued at $21.6 million. Michigan’s $236.6 million incentive package was awarded primarily to support ONE’s $1.6 billion ONE Circle battery campus in Van Buren Township (Wayne County), although state records indicate part of the SOAR funding also contemplated related capital upgrades at the company’s Novi headquarters. As of March 17, 2026, the Michigan Economic Development Corporation has stated that ONE remains in good standing for their repayments toward the Michigan Investment Fund loan, and the performance-based SOAR grant is paused under the current agreement. The SOAR grant was tied to ONE’s commitment to create 2,112 new jobs and invest $1.6 billion; it is unclear if ONE will be able to hit their originally stated job numbers, considering their current restructuring and layoffs. Since the most recent layoff, ONE has transitioned away from automotive EVs to rail and defense customers (securing over $35 million in new purchase orders), and the Van Buren and Novi facilities have finished retooling and are staffed and operational. 

Three other vehicle-related manufacturers in Michigan have announced layoffs that could further disrupt the EV market. At the end of February, Pace Industries announced that it was closing two of its three facilities in Muskegon on April 25 (affecting 145 jobs), listing company restructuring as their reason for the action. Pace Industries is one of America’s largest full-service die-casting manufacturers; the company produces precision metal components used in a variety of industries, including automotive, aerospace, and consumer products. For the automotive industry specifically, Pace Industries does “casting and engineered solutions for e-mobility vehicle and motorcycle needs.” In the official state filings, Pace Industries did not detail why the restructuring is taking place, but the two facilities scheduled to close supply automotive manufacturing and are described as “high-volume diecasting operations, with machining and finishing capabilities too, to supply automotive and recreational vehicle manufacturing,” while the facility that will remain open focuses on “rotary and reverberatory furnaces for processing secondary aluminum from scrap, turnings, and furnace byproducts.” Pace Industries has also announced closures of two other facilities in Arkansas and Tennessee.

Following the Pace Industries closures, Trystar LLC has also announced a facility closure due to a transfer of operations scheduled to start on September 4 that will affect 71 jobs. Trystar designs, engineers, and manufactures customizable electrical power solutions for diverse market sectors, including data centers, utilities, entertainment, education, government, health care, and commercial buildings. While Trystar does not directly supply components for the assembly of EVs, the company does recognize that EVs are a market driver for their business, and they offer portable power solutions that could charge EVs. However, at this time it is unclear what caused Trystar to initiate the transfer of operations, and ultimate closure, of their operation in Troy. 

First Brands Group is an automotive aftermarket parts manufacturer headquartered in Cleveland, Ohio, that includes such brands as FRAM (filters), Autolite (spark plugs and ignition wire sets), and Trico (windshield wipers). In September 2025 the company filed for Chapter 11 bankruptcy protection and began to successfully sell off some assets while winding down business activity, which initially saved some of their former employees from layoffs. Since then, the company has been in legal and financial turmoil, and its top executives are facing federal fraud charges. This has resulted in thousands of potential layoffs in Ohio, Illinois, Tennessee, Indiana, and Michigan since late 2025. First Brand Group has been unsuccessful in a broad sale of the company and has moved toward an asset-by-asset sale. The company was attempting to sell units while they were still operating, but potential bidders pulled out as orders and the cash needed to keep businesses open dried up. This is when First Brand Group submitted a WARN notice for the Rochester Hills location, affecting 41 positions between February and May of 2026. On April 16, Premium Guard Inc. (PGI) acquired “a broad portfolio of patents, engineering know-how, and technical capabilities across multiple product categories, including wiper blades, spark plugs, and lift support.” PGI’s acquisition appears to be limited to intellectual property and related assets that do not include resuming operations and employment. 

“Enrollment Cliff” Catalyzes University and College Restructurings

The “enrollment cliff” has been discussed and understood by researchers and higher education institutions for nearly half a century. Higher education institutions within Michigan are facing the consequences of this decline, along with a reduction in the share of high school graduates who go to college, as seen by closures and restructurings over the past three years. Most recently, Siena Heights University announced that it will permanently close at the end of the 2025–2026 academic year, resulting in 132 layoffs. The long-term nature of the enrollment cliff is reinforced by Michigan’s population projections (Chart 2). Although the severity of the enrollment deficit varies on the size, prestige, and ownership structure of the institution, Michigan’s R1 research universities have continued to experience steady enrollment (Chart 3). R1 and other highly selective institutions also tend to have larger shares of international students and greater access to research funding and other revenue sources. Many remaining higher education institutions, particularly smaller private colleges, lack these additional streams of income. Higher education institutions have responded to enrollment and funding challenges with a variety of approaches and strategies that include increasing tuition, increasing endowment withdrawals, cutting courses and budgets, selling properties, consolidating departments, and merging with other institutions. 

Colleges and universities are often a source of good-paying, steady jobs. According to the OES, as of May 2024, colleges and universities paid 13 out of the 22 major occupation groups higher median annual wages than all other industries combined. This difference is especially prominent for Service Occupations (SOC 31-39) and Educational Instruction and Library Occupations (SOC 25). 

Layoffs within Prosperity Region 8, paper manufacturing continues to decline 

In 2025, Eight southwest Michigan companies filed notices of layoffs affecting 812 workers. Some were required because companies were laying off more than 100 employees, and others were voluntary because their contractions were below that number. Michigan follows the federal WARN Act and is not one of the 13 other states that have their own stipulations for companies to inform layoffs, in addition to the federal law. 

On February 6, 2025, Pactiv Evergreen Services Inc., a paper mill, announced the closure of its facility and the layoff of 153 people. This was the only company that announced layoffs in the first quarter of 2025.  

Since January 2024, six WARN notices have been issued for companies within the Paper Manufacturing subsector (NAICS 322), resulting in a total of 492 layoffs. Of the six WARN notices issued, five were from the facility closing. While the paper manufacturing industry has been declining for at least the last half-century, this string of layoffs within the past 18 months is greater than the layoffs that occurred in this industry from 2016 to 2023 (311 layoffs). Relative to its 2001 level, the paper manufacturing industry has experienced a greater decline in Kalamazoo County than at the state or national level, losing half of its business establishments.  

While containerboard production grew with the adoption of online sales and deliveries, market responses led to an oversupply over the last few years. The decline over the last two years, due to oversupply, was exacerbated by the imposed tariffs on Canadian softwood lumber and EU paperboard products. Businesses were facing the need to diversify their supply chains, renegotiate supply contracts, and explore fixed-price hedging or forward-buying arrangements. Not every company made its new business model profitable, and some were forced to downsize or close. While this trend is typical nationwide and severely affects paper mills in Georgia, where paper manufacturing leads the state’s manufacturing industry, it also significantly impacts southwest Michigan. 

Chart 1 illustrates a long-term decline in paper manufacturing establishments beginning in 2001, with the most significant losses occurring in Prosperity Region 8 and Kalamazoo County. Of the six facilities that have closed since January 2024, two were in Kalamazoo County: Opus Packaging and Pactiv Evergreen. Opus Packaging offered the employees who were affected jobs in their same job classification or better at the plant in Caledonia. However, employees at the Pactiv Evergreen site were not offered jobs at the other Pactiv Evergreen site in Kalamazoo County. Additionally, Pactiv Evergreen was acquired by Novolex in April 2025. These two closures amounted to 215 layoffs, which accounted for approximately 13 percent of all employment within the paper manufacturing industry in Kalamazoo County. There are now fewer than 15 paper manufacturing establishments in Kalamazoo County, down from 29 in 2001.

Other nondurable goods industries that have experienced layoffs in Michigan since 2024 include Plastics and Rubber Products Manufacturing (NAICS 326), totaling 552 layoffs, and Food Manufacturing (NAICS 311), totaling 121 layoffs. Nearly 25 percent of all layoffs in Michigan’s Plastics and Rubber Products Manufacturing industry (133 workers) took place in Prosperity Region 8. Firms in this industry are key suppliers to the automotive sector. Recent UAW strikes and strike-related shutdowns, which halted production and reduced orders for components, may be contributing factors to these declines in our region. Other factors could include tariffs and trade uncertainty, which increase input costs and reduce competitiveness; inventory corrections and original equipment manufacturer (OEM) production slowdowns, as automakers manage excess stock or adjust model strategies; and electrification and technology shifts, which are reducing demand for certain traditional plastic and rubber components used in internal-combustion vehicles. 

On July 1, 2025, Beacon Health Systems completed its acquisition of Ascension Borgess hospitals in southwest Michigan. Consequently, this acquisition resulted in the layoff of 244 workers from Compass Group USA in southwest Michigan, which provided food and support services to Ascension Borgess hospitals. Job classifications affected include Patient Transporters, Cashier Workers, Cooks, Dishwashers, Housekeepers, and Operations/Systems Directors. Beacon stated in their online FAQ that “all southwest Michigan clinicians and associates will be offered the opportunity to continue employment with Beacon Health System, provided they follow Beacon’s hiring process and meet the legal requirements to work.”

Longer-Term Trends of the WARN Notices 

Tariffs and broader economic uncertainties in the United States continue to weigh on manufacturers, particularly those tied to the automotive supply chain. For the entire year of 2025, there were 37 manufacturing-related (NAICS 31–33) layoffs in Michigan, with more than half of them—25 layoffs—occurring in just the third quarter. Of those 25, at least seven employers cited tariffs or a general downturn in the U.S. market as contributing factors. 

In addition, several automotive manufacturers and suppliers reported that slowing EV adoption—driven in part by the expiration of federal tax credits available before September 30, 2025—has reduced orders. Major automakers, including General Motors, Ford, and Stellantis, had already announced significant layoffs throughout 2024, pointing to weakening EV demand even before those tax credits expired. The weakening demand has also come at a fiscal cost to automakers as some are now attempting to pivot their EV production to more profitable gasoline vehicle production. Some of these costs have been settlements with suppliers that invested based on EV projections from automakers. This relationship between automakers and suppliers is a new philosophy for Detroit that will help give suppliers confidence in taking a chance on new technology.    

The national labor market in late 2025 continued to exhibit what economists described as a “big hold,” a dynamic in which larger employers are reluctant to reduce staff but are equally hesitant to expand their workforce or invest in business growth. Many firms—particularly in manufacturing, logistics, and professional services—are still engaging in labor hoarding after the hiring challenges of 2021–2023, choosing to maintain staffing even as demand softens. This strategy reflects both the lingering difficulty of finding skilled workers and the anticipation that economic conditions will improve. As a result, employment levels remain stable but largely flat, with limited new hiring outside of a few sectors such as health care and government. Through these examples of WARN notices, we might see the end of this hold, especially among midsized companies that have less resilience to withstand it. The trend of a “big hold” evolved into “fire, not hire” by the end of 2025, especially among small and midsized employers, which did not necessarily lay off hundreds of employees at once but cumulatively had a significant effect on the labor market.  

At the same time, workers are also staying put. Voluntary quits have dropped significantly from the highs of the “Great Resignation” as employees weigh economic uncertainty, the cooling job market, slower wage growth, and broader concerns about layoffs in industries such as tech, automotive, and finance. Many workers are also constrained by housing-related factors, including mortgage lock-in, which limits mobility. This combination of employers holding onto workers and employees staying in place has created a labor market characterized by low layoffs, low turnover, and modest hiring—a clear holding pattern as both sides wait for greater economic clarity heading into 2026. This pattern may persist further, especially when workers witness layoffs that affect those close to them. 

Remote workers have continued to be included in more WARN Notices since 2024. In 2024, there were 9 remote workers affected by layoffs; in 2025, there have been 60. Layoffs affecting remote workers have been in the service industry, specifically Administrative and Support Services, Information, Transportation and Warehousing, and Scientific and Professional Services. The occupations included in these layoffs exclusively represented professional occupations or knowledge-based work. 

The total number of layoffs each year has been roughly evenly split between manufacturing and service industries, with some years leaning more toward one sector than the other. However, within the service sector, the mix of industries experiencing the most layoffs has shifted in 2023, 2024, and 2025 toward those that employ professional or knowledge-based workers.  

In the third quarter of 2025, Marshall’s company, Marshall Excelsior Co Inc, in Metal Tank (Heavy Gouge) Manufacturing, NAICS 322, announced the closing of its facility and the layoff of 71 employees. The fourth quarter of 2025 accounted for two more layoff notices: IAC Mendon, LLC (Other Motor Vehicle Parts Manufacturing, NAICS 336 in Mendon), was letting 178 people go, and Post Consumer Brands, LLC (Breakfast Cereal Manufacturing, NAICS 311 in Battle Creek), announced a layoff of 71 employees. While layoff notices overall in 2025 were issued to 812 people in Prosperity Region 8, the regional annualized numbers were slightly lower due to letting go of some employees at the middle or end of the year. While the last two quarters affected 320 employees directly, they triggered additional job losses of 193 employees in regional supply chain companies (indirect economic impact) and 146 employees in population service industries, affected by reduced household spending due to the lost income of laid-off employees across all companies (induced economic impact).  

The year 2025 marked the end of a 10-year period since Upjohn Regional started to track layoff notices in Prosperity Region 8. Since 2016, 51 companies in our region filed WARN notices, directly affecting 6,322 people. The notices ranged from massive layoffs of 1,489 people by Pokagon Gaming Authority (dba Four Winds Casinos) in 2020 to single-digit layoffs of 7 and 8 people by Nestle in 2019 and H&R Wood Specialties, Inc., in 2020, respectively. The bulk of layoffs occurred during COVID-related closings; during 2020, starting on March 24, companies filed notices about letting go of 3,283 employees. In comparison, 1,251 people were affected by filed layoff notices before March 24, 2020, and 1,788 were affected between 2021 and 2025. For the 10-year period, notices were given for layoffs of 3,061 manufacturing and utilities employees and 3,261 employees in the service industries. 

As of February 16th, 2026, there have been six layoffs announced that account for 507 jobs. The largest two layoffs announced are the Great Lakes Coca-Cola Distribution center in Lansing (161 impacted) and the Grouper Acquisition Company in Comstock (operating as Shiloh Industries, 160 impacted). Shiloh Industries specializes in the design engineering and manufacturing of BEV battery enclosures, park-lock actuators, lightweight structural systems, and laminated acoustic panels. Along with the permanent closure at the Comstock site, Shiloh Industries will also be closing its metal stamping facility in Goshen, Indiana. 


An updated version of this data will be published quarterly.

It is important to note that the rules governing WARN notices can be complicated, as there are exceptions to the Federal WARN Act. Employers are covered under WARN if they have 100 or more employees, not counting employees who have worked less than 6 months in the last 12 months, and not counting employees who work an average of less than 20 hours a week. For more details, please reference the WARN Fact Sheet.