PRESS RELEASE from the
ILLINOIS POLICY INSTITUTE

CONTACT: Melanie Krakauer (312) 607-4977

Small Business Saturday: Small businesses are Illinois’ most resilient
Illinois’ “mom and pop” businesses with fewer than 20 employees are the only kind to have added jobs during the pandemic

CHICAGO (Nov. 23, 2022) – Illinoisans have an extra reason to be thankful for small businesses this holiday: new analysis shows they are the most resilient in the state and are leading the state’s job recovery from the pandemic.

The nonpartisan Illinois Policy Institute found Illinois businesses with fewer than 20 employees were the only kind to see job growth in the state since 2020. The pandemic and state-mandated lockdowns led to job losses that are still lingering with larger businesses.

According to recent data, small businesses have added 53,000 jobs to the Illinois economy since January 2020, while businesses with more than 20 employees are down 180,000 jobs since before the pandemic.

“Small businesses bring immense value to Illinois’ economy in terms of supporting and creating new jobs, and that has held true even since the pandemic,” said Bryce Hill, director of fiscal and economic research at the Illinois Policy Institute. “These companies deserve our support and the support of lawmakers in ensuring they’re given the best possible environment to succeed.”

Small businesses were also most likely to keep workers in the early days of the pandemic. They laid off one-third as many employees as larger businesses.

In Illinois, Small Business Saturday comes as businesses face an unemployment insurance tax hike imposed by the federal government because state leaders failed to repay $1.4 billion borrowed for pandemic unemployment benefits. That new tax threatens to be a drag on job growth.

“Illinois must avoid future tax hikes and penalties at all costs. With a potential recession on the horizon, we need our small businesses and their job creation more than ever,” Hill said.

To read the full analysis, visit: illin.is/small-biz

For bookings or interviews, contact media@illinoispolicy.org or (312) 607-4977.