Two projects are expected to create 279 new, well-paying jobs and generate a total private investment of $27.2 million in the Ann Arbor region with support from the Michigan Strategic Fund, according to the Michigan Economic Development Corporation (MEDC).
“This $27.9 million investment will create hundreds of excellent jobs in the Ann Arbor region as we continue implementing our Michigan Back to Work plan to get our state back on its feet,” said Governor Gretchen Whitmer. “These business expansions in Ann Arbor will contribute to the ongoing economic recovery by bringing projects in strategic sectors like tech to support Michigan’s long-term economic health and create opportunity for residents across the state.”
Due to its rapid growth, Ann Arbor-based Workit Health, a healthcare technology company, needs to expand its workforce and its office. The project is expected to generate a total private investment of $14.8 million and create 179 highly skilled, high-wage jobs with the potential of up to 530 jobs over five years, resulting in a $1 million Michigan Business Development Program performance-based grant. The company selected Michigan over competing sites around the country.
The project aligns with MEDC’s focus industries of tech and professional and corporate services. In addition to bringing 179 high-wage jobs to Michigan residents, Workit has a robust internship program, drawing heavily from University of Michigan, Wayne State University, and Grand Valley State University, creating pathways to full-time jobs for students.
“Workit Health, headquartered in Ann Arbor, has a close relationship with the tech community in the region and is eager to leverage the talent in the region to further expand access to treatment,” said Workit Co-Founder Lisa McLaughlin. “We have ties to Ann Arbor and intentionally decided to grow the company here. Incredible local catalysts like the MEDC and founders who are redefining entrepreneurship in our region have played a pivotal role in our rise. We are active boosters of the digital health scene in Michigan and are committed to serving as a high-growth anchor for the sector in the region.”
Nexient, LLC is America’s largest 100-percent U.S.-based software services provider. Established in 2009, the company is headquartered in Silicon Valley with Michigan serving as home to one of the company’s product delivery centers. The company serves a wide range of industries, including utilities, retail, financial services, healthcare, entertainment and media, technology, and hospitality.
Nexient expanded at its Pittsfield Township operations in 2018, a project that generated a total private investment and created 300 jobs. Today the company employs approximately 464 people at that location.
Nexient has purchased a building in Scio Township, where it will make renovations and expand the parking lot in order to accommodate the growth. The project is expected to generate a total private investment of $12.45 million and create 100 new, high-wage jobs, resulting in a $500,000 Michigan Business Development Program performance-based grant. Michigan was chosen over competing sites in Indiana and Ohio.
“After growing by more than 30 percent in 2020, Nexient is seeing our growth accelerate in 2021. MEDC has been a fantastic long-term partner for us, working with us since 2010 to grow our presence in Ann Arbor,” said Nexient CEO Matt Orttung. “We are really thankful for all of their support. We’re excited to move into our new, 100,000 square foot product delivery center in Ann Arbor in the second half of 2021.”
The Nexient project aligns with MEDC’s target industry of technology and builds on the state’s work to grow Michigan’s tech footprint. In addition, the jobs created as a result of the project will help Michigan catalyze long-term, equitable high-wage job growth. Nexient is committed to supporting underrepresented populations, mentoring students in disadvantaged communities, and provides significant talent development and training for its employees. The company also provides generous benefits packages to all of its employees.
“The decisions by Workit Health and Nexient to expand here in Michigan highlight our growing tech and professional and corporate services industries and demonstrate our commitment to long-term economic growth in our state,” said MEDC Chief Business Development Officer and Executive Vice President Josh Hundt. “The investments by these companies will create at least 279 excellent, high-wage jobs for Michigan residents, with the potential for more in the future. We’re pleased to work with our partners at the city of Ann Arbor and Ann Arbor SPARK to support these projects, and we look forward to working with the companies as they continue to grow and do business in Michigan.”
Ann Arbor SPARK has worked with both companies as they’ve grown in the Ann Arbor region. SPARK supported Workit Health since its inception in 2015, including space at its Central Innovation Center, grant funding for marketing, legal, and customer discovery work as well as hiring interns to extend their team’s capabilities. SPARK connected Nexient to the Going Pro talent fund, which helps with training, developing and retaining current and newly hired employees and also helped the company work through the incentives process with MEDC that resulted in its expansion to Scio Township.
“The expansion of Workit Health and Nexient show the strength and resiliency of the region’s economy,” said Paul Krutko, president and CEO of Ann Arbor SPARK. “The diversity of employers and job opportunities in Ann Arbor positions this community to weather economic challenges.”
Last month, energy storage provider Navitas and national mortgage lender Homepoint announced plans to expand in the Ann Arbor region, generating a total private investment of $7.1 million and creating 266 well-paying jobs in the industries of advanced manufacturing and professional corporate services.
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