New Report: Illinois Hospitals Generate $75 Billion Annual Impact on State Economy

Employ more than a quarter million Illinoisans; generate 426,700 jobs

NAPERVILLE, Ill., Sept. 24 /PRNewswire-USNewswire/ -- Illinois' hospitals are a critical mainstay for the state's economy and jobs, providing stability and growth even during times of recession. According to a new report by the Illinois Hospital Association (IHA), the state's 200 hospitals and health systems employ more than a quarter of a million people, resulting in 426,700 direct and indirect jobs, and generate a total annual impact of $75.1 billion on the state's economy.

Illinois Hospitals $75 Billion Impact on our Economy, the first report examining the statewide economic impact of hospitals, was released today at IHA's Leadership Summit in Galena and presented to Governor Pat Quinn and state Senator Bill Brady, both speakers at the Summit.

"Illinois hospitals play a vital role in strengthening the economy of their local communities and the state, which is more essential now during the economic downturn," said Maryjane A. Wurth, President of the Illinois Hospital Association. "By providing jobs for a wide range of health care workers and spurring more economic activity by spending on goods, services and capital improvements, hospitals are a cornerstone of the local and state economy."

The report notes Illinois hospitals are among the top three employers in nearly half of the state's counties. Hospitals are essential to economic development – companies looking to relocate or expand want access to comprehensive, high-quality health care services.

"To continue to retain and create jobs, attract businesses to their communities, and provide access to high-quality health care, Illinois' hospitals must have funding support to keep them fiscally healthy," said Wurth. "We urge state and federal lawmakers to take steps to continue to invest in the state's health care system so hospitals can remain strong and viable employers in their communities."  

Among the report's findings:

• Illinois hospitals employ more than a quarter of a million people and expend $14.8 billion a year on payrolls, resulting in 426,700 direct and indirect jobs and an economic impact of $35.5 billion;
• Illinois hospitals spend $16.5 billion on goods, services and capital improvements, resulting in $23.1 billion in other spending, for an impact of $39.6 billion;
• Illinois hospitals generate a total statewide economic impact of $75.1 billion;
• Each Illinois hospital job generates another 1.1 jobs in the state;
• Every dollar spent by Illinois hospitals on goods, services and payroll generates another $1.40 in spending throughout the economy;
• Health care/social assistance will be the second fastest growing sector in the Illinois economy in the next eight years;
• Health care/social assistance will create more jobs than any other sector – nearly 150,000 by 2018; and
• The health care sector is the sixth highest contributor to state GDP at 6.8%.

The report can be viewed at: www.ihatoday.org/economicreport.pdf.

With offices in Naperville, Springfield, and Washington, D.C., IHA is an advocate for 200 Illinois hospitals and the patients and communities they serve. See IHA's web site, www.ihatoday.org.

SOURCE Illinois Hospital Association