NW Illinois News

Illinois saw the highest increase in unemployment claims in the week ending Oct. 31 compared to all other states. 

"As all areas of Illinois begin implementing new COVID-19 mitigation measures and Gov. J.B. Pritzker begins restricting economic activity again, more than 76,338 Illinoisans filed new unemployment claims. That number is 23,200 more than the week ending Oct. 24," Bryce Hill wrote in Illinois Policy.

While Illinois is seeing claims increase, the nationwide average decreased. Other states are heading on the right track toward recovery from the COVID-19 pandemic, with 638,000 jobs added back into the economy during October and the unemployment rate decreasing to 6.9% nationwide. 

 "While the national labor market has been steadily recovering since April, adding jobs and dropping the unemployment rate since then, Illinois’ recovery has begun to falter in recent months," Hill wrote for the Illinois Policy Institute. "Illinois’ September jobs report, which measured changes from mid-August to mid-September, revealed that Illinois saw the largest decline in jobs in the nation during the month. In the time since, Illinois has experienced rising unemployment claims in six out of the seven weeks, with 289,609 Illinoisans filing new unemployment claims during that time."

While it's not for certain, the data implies Illinois has more job declines. This will be known for sure in November's report from the state. As the unemployment claims rise and jobs decline, it could be caused from the state's new set of coronavirus restrictions. 

"Luckily, Illinois voters rejected a $3 billion progressive income tax hike on Nov. 3, which would have raised taxes on more than 100,000 of the state’s largest job creators – small businesses. Economists argue against raising taxes during a recession, so lawmakers now must reject Pritzker’s call for a 20% income tax hike on everyone," Hill wrote for the Illinois Policy Institute. "Instead, Illinois can improve its fiscal situation and continue to provide core services mainly by implementing constitutional pension reform. There is also the additional possibility of the state receiving federal aid by reforming state finances, if congress adopts the Taxpayer Protection Act."