Prairie State Wire

Unemployment in Illinois increased to 5.3% in August, as reported by the Illinois Department of Employment Security. This rate surpasses the national unemployment rate of 4.2%. According to data from the U.S. Bureau of Labor Statistics, only Nevada had a higher unemployment rate among the fifty states.

Neighboring states also experienced changes in their unemployment rates. Wisconsin's rate decreased to 2.9%, while Indiana (4.2%), Iowa (2.9%), Kentucky (4.8%), and Missouri (3.9%) saw increases.

Despite the weakening job market, small businesses are still struggling to find qualified applicants for open positions. According to NFIB’s August Small Business Economic Trends survey, 90% of small business owners hiring or looking to hire reported few or no qualified applicants. Inflation remains the primary concern for small businesses, followed by labor quality.

“Despite a rising unemployment rate, finding qualified workers remains challenging for many small businesses,” said NFIB Illinois State Director Noah Finley. “This spring, NFIB successfully supported legislation in Springfield to identify the state’s current job-training and workforce-development programs so that they can be evaluated for effectiveness.”

Over the past year, Illinois added 36,300 nonfarm payroll jobs according to the Illinois Department of Employment Security, with 98% (35,600) being in the public sector. The total number of unemployed workers in Illinois rose to 343,100.