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Inflation eases but Metro Detroit businesses still struggling with rising costs

Consumer Price Index falls below 3% for first time in over three years

The pinch on your wallet may not be as painful as consumers battle high prices for services and household items.

For the first time in more than three years, the Consumer Price Index fell below 3%.

In response to inflationary prices, small and big businesses are fighting for our money.

“I’m looking for better deals and cutting back a lot,” said Tawauna Coleman.

The bottom line is that everyone is hurting, including businesses.

“It does feel like food costs, grocery costs are up, but I’m not sure if that’s inflation or government issues,” said Justin Edgell.

In the case of Jamex Brewing Co. in St. Clair Shores, it’s closing later this month. However, the brewery said there’s much more to its decision than skyrocketing prices. (Copyright 2024 by WDIV ClickOnDetroit - All rights reserved.)

In the case of Jamex Brewing Co. in St. Clair Shores, it’s closing later this month. However, the brewery said there’s much more to its decision than skyrocketing prices.

“(About) 40% of restaurants aren’t profitable at all right now in Michigan,” said Justin Winslow, president and CEO of the Michigan Restaurant and Lodging Association.

Winslow believes what happens over the next few months with the minimum wage hike will also dictate the next few years, including whether it makes sense to stay open.

“In the meantime, this industry is frozen,” Winslow said. “They are not hiring new individuals. They are not building out new restaurants.”

Meanwhile, diners are trying to ride out the prices.

“On paper, everything can look bad or look good, but when you’re measuring up against how much you spend daily, we seem to be doing pretty good,” said Kenneth Watson.


About the Author

Shawnte Passmore joined WDIV in August 2024 after working at KOVR in Sacramento, California, WFSB in Hartford, Connecticut and KMTV in Omaha, Nebraska.

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