Despite no major business layoffs or closures, the Springfield area led the state in job losses year over year, according to Illinois Department of Employment Security non-farm employment data released early this month.
Springfield lost 3,300 jobs from March of last year to this year, nearly two-fifths of all the jobs lost by the state in that time. Employment for the information sector – a field that includes advertisers, library staff, reporters and editors, telecom equipment workers and service representatives, computer programmers and more – has dramatically fallen in the past year for Springfield. IDES estimates the sector lost roughly 1,900 positions, making up the bulk of the total job losses. Other local sectors that shrunk significantly include business services and retail trade in addition to transportation and utility work.
Mike Murphy, president and CEO of The Greater Springfield Chamber of Commerce, told
Illinois Times he wasn’t aware of any major closures beyond the hospitality industry.
“While a few smaller employers, particularly within the hospitality industry, have experienced closures, there have also been new businesses and operations opening during the year,” Murphy wrote to IT after reviewing the data.
Only a handful of private industries in the Springfield area have had payrolls grow compared to last year – construction, goods production and mining.
The Illinois Worker Adjustment and Retraining Notification (WARN) database shows no mass layoffs reported in the past 12 months for Sangamon and Menard counties, the counties that federal agencies designate the Springfield Metropolitan Statistical Area.
It does, however, show a May 4 notice for the nearly 100 Kincaid power plant workers in Christian County. Vistra Corp, the Texas-based owner of the Kincaid power plant, listed Jan. 4, 2028, in the filing as a first layoff date.
A separate May 21 IDES report looks at the state’s employment situation as a whole with respect to April 2025 through April 2026. It showed modest month-to-month growth but indicates there are considerably fewer jobs across the entire state now than in 2025.
“Compared to a year ago, total nonfarm payroll jobs were down 4,500 jobs,” the report reads. “The industry groups with the largest jobs decreases included: professional and business services (-14,300), trade, transportation and utilities (-9,900), and financial activities (-6,900).”
In turn, the number of unemployed Illinoisans jumped up nearly 13% over the past year to more than 337,000 people. The unemployment rate for Illinois in the past year has stayed higher than national averages, according to the May 21 report.
The May 7 IDES press release highlighted Champaign bucking state trends with “14 months of consecutive year over year growth.”
While most of Illinois is straining to find new avenues for job growth, Deputy Gov. Andy Manar – without specificity to budgeting, tariffs or the war on Iran – cast blame on federal policy for the state’s diminished labor outlook.
“Metro areas across Illinois are continuing to feel the effects of economic uncertainty coming from Washington, creating added pressure for employers and workers,” Manar said. “Even with those headwinds, some regions continue to see steady job growth, Illinois will continue focusing on policies that support job creation, economic stability and long-term growth in communities across the state.”
Local job numbers for April were not available at time of writing but are expected to be published by IDES before June.
This article appears in June SBJ 2026.