Governor Reorganizes State Department

Liz Gullett

Jun 14, 2019

In an effort to streamline and better coordinate efforts to meet the state’s business and labor needs, Governor Gretchen Whitmer signed an Executive Order renaming and reorganizing one state department. The new department is called the Department of Labor and Economic Opportunity (LEO) and replaces the Department of Talent and Economic Development (TED). The department is charged with building a strong state economy by developing and implementing policies that enable greater opportunity for workforce and economic development, including a focus on closing the skills gap and boosting economic potential for business.

Executive Order 2019-13 restructures TED and consolidates all workforce and economic development functions, which were previously scattered between various departments. Among other agencies, LEO will include the Michigan State Housing Development Authority, the Michigan Strategic Fund, and the Michigan Office for New Americans, which will be known as the Office for Global Michigan. Additionally, the order creates new commissions within the department, including the Workers’ Disability Compensation Appeals Commission and the Unemployment Insurance Appeals Commission.

Jeff Donofrio was named the director of the new department. Mr. Donofrio previously worked as the executive director of workforce development for the City of Detroit. Stephanie Beckhorn will remain as the acting director of the department until a start date is confirmed for Mr. Donofrio to take over as director.

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