CNBC ranks Illinois as the third-least friendly state to do business. The Tax Foundation found Illinois’ business climate declined 10 spots in the past five years (and the only state to drop in the Midwest).
To add insult to injury, in order to make up for missing revenue, Gov. J.B. Pritzker added an additional $5.2 billion in new taxes on Illinoisans, specifically targeting businesses ($650 million in new taxes amid a pandemic recovery).
After years of operating in Illinois, three major companies; Boeing, Caterpillar and Citadel, are all moving their headquarters out of the state. In this video, WSJ looks at the economic and political implications.
Citadel CEO Ken Griffin announced to employees June 23 the firm’s headquarters is leaving Chicago for Miami after 30 years. Griffin, Illinois’ wealthiest resident, is picking Florida for its better corporate environment.
While he has multiple issues with how Illinois treats its corporate citizens, he also in April said he was bothered by Chicago’s inability to control crime.
“If people aren’t safe here, they’re not going to live here,” Griffin said. “I’ve had multiple colleagues mugged at gunpoint. I’ve had a colleague stabbed on the way to work. Countless issues of burglary. I mean, that’s a really difficult backdrop with which to draw talent to your city from.”
Meanwhile in Florida…
As the business climate in Illinois is predicting cloudy with a chances of a major shit storm, many business leaders are looking for more business friendly state leadership.
For example according to a report from the trade group CompTIA, Florida added 2,715 tech businesses last year, ahead of both Texas and California.
Florida had the second-highest number of tech jobs added last year at 10,522, Only second to Texas which gained 10,851 positions. Much of Florida’s tech growth was concentrated in Miami, which added 2,072 positions in the field last year.
Similarly, Florida added 211,000 residents in 2021 while Texas increased by 310,000, according to new U.S. Census data. California shed 262,000 residents last year while New York’s population shrank by 400,000.
Here’s a video from WSJ explaining the business climate catastrophe eroding in Illinois. It’s pretty nuts…