By: Diane Benjamin
Unemployment numbers for January 2017 are now available on the Illinois Department of Employment Security website:
http://www.ides.illinois.gov/LMI/Pages/Current_Monthly_Unemployment_Rates.aspx
Unemployment is on the way up in Bloomington-Normal. The first column is Jan-17 – then Dec-16 the Jan-16.
Of course the closing of Mitsubishi has hurt the local economy, but local governments still hasn’t figured out it will reverberate through the economy. Suppliers have closed, meaning more job loses. All former employees now have less money to spend, that means local businesses will have less revenue which means they will have less money to spend. The process will repeat over and over.
All of this results in less income to government.
The new Bloomington budget calls for millions in more spending and the hiring of additional staff.
Tax incentives have been handed out for mostly low wage jobs.
April 4th adults need to be put in charge of Bloomington and Normal.
It’s official, JC Penny’s at Eastland Mall is closing. Some more unemployed people.
http://www.usatoday.com/story/money/2017/03/17/jcpenney-store-closure-list-j-c-penney/99298728/
For all the talk of “positive” economic impact from–the Coliseum, Route 66 Visitor Center, Library, Soccer Complex–they should understand the “negative” impact with a loss.
For every auto worker that is laid off – 5 supplier workers are laid off. 780 Mitsubishi workers laid off translates into 3900 total workers laid off. Yes, it is a big deal and the ripple effect of the reduced spending through the local economy in dramatic.
Employment has declined by 5% during Renner’s regime. All the lost revenue from the closing of retail will not be made up by for the supposed revenue and jobs to be generated by Rivian. Their benchmark is 7 years down the road.
I spend quite a bit of time in Champaign/Urbana on business. There is a stark difference in the amount of economic activity between there and here. I am going to use the words that few want here: Bloomington/Normal is in an economic decline. This is not a recession – this is the beginning of an large scale economic decline.
And the response of local government is desperation to give away what little we have and call it economic development. As major retailers read the real economic numbers to cut back and shut down the mayors Renner and Koos want the citizens to believe that midwest economic development politically appointed hacks can buck reality. It’s so stupid one almost has to laugh.
I agree that the leadership here is desperate to call things like hot dog stands economic development but major retail closings are a result of a cultural shift in buying habits that are driven by technology/on-line shopping. Where our leadership is failing is in their lack of vision to realize what many have know for quite some time; the days of large department store retailers are numbered. The closing of large retailers means the loss of sales tax revenue. Not preparing for the loss of retail sales tax dollars is where our leadership fails miserably. Thinking that Eastland is going to forever be a tax revenue cash cow is very shortsighted in the face of on-line retailers like Amazon. How many stores are left at Eastland now? Sears will be next to go… they have been on the ropes for a couple years now. FYI – I just saw the latest numbers for large chain restaurants… yes they are really hurting right now – people are not going out to eat as much and when they do they are choosing local restaurants. (Are you listening Mayor Koos)
Let’s build a $25M dollar library when books are available digitally. Let’s build a $20M Community Center in the West side so the property values of the adjacent homes increase and the working poor are unable to afford the additional tax. All these properties the city is buying provide no property tax revenue. The land use of downtown is already 35% government owned and tax exempt. Is there no common sense? Who will go to this destination?
Dear Mayor Professor Renner and UWannabee-a-King Koos, In case you missed Econ 101, when people don’t have work they don’t have money. No money, no buying power. It doesn’t matter what new store you bring in, the people have no money especially when you keep taxing the crap out of them. Duh. Sincerely, sticky bean
HEY! I know LET’S build a HOTEL! Then we can be like Peoria which currently has a MAJOR bill on the Pere Marquette hotel as they have a $20,000 legal bill AND they have $20 MILLION in the place and the hotel is being sued/foreclosed on because of non payment of bills, etc, and the CITY is listed as ONE of the owners. That was JUST on the channel 31 news, but OUR mayor don’t care. Build BABY BUILD!!
Pretty much all of Illinois outside Chicago is in economic decline and has been since the 90’s. I’m guessing champaign does better because it has the university of Illinois there. Are they capitalizing on the graduates getting them to stay and create economic growth?