On Tuesday, 10 Michigan companies were approved for tax credits that may help the struggling state keep 10,000 jobs and enable it to offer 1,000 more.
Nexcess.net will receive more than $200,000 in tax credits from the Michigan Economic Growth Authority to expand in Michigan over locations in Illinois and Indiana. The expansion may include more than just adding jobs, as the web-hosting company may choose to also invest in new equipment such as computers, software or business projectors.
"We're continuing to work hard to diversify Michigan's economy, bring new investment to the state and create jobs," said Governor Jennifer M. Granholm. "Companies are choosing to invest in Michigan because of our competitive business climate, skilled workforce and strong public-private partnerships."
Companies such as Detroit Diesel, Ford and Gordon Food Service were awarded millions of dollars in relief to help them expand their base operations and employ additional workers. Tax credits totaling $56.8 million over an 11-year span were approved by MEGA to keep Detroit Diesel in the state.
Michigan was one of the hardest hit states by the recession, with thousands of employees getting laid off from their jobs. In December of 2009, Michigan’s unemployment rate spiked to 14.3 percent, the highest recorded rate in a decade, according to the Bureau of Labor Statistics. Michigan has since rebounded slightly, with a 14 percent unemployment rate in April of 2010.
