Volume 9, No. 1


Go Home

Featured Articles:

Report on the Effectiveness of Career Information Released

Southwestern Economic Development Region

Southwestern Economic Development Region: Critical Skills Shortage Initiative

Archives

Southwestern Ecomonic Development Region

by Dennis Hoffman

The Southwestern Illinois Economic Development Region is a nine county area that hugs the Mississippi River across from the Cityof St. Louis (see map). This region, also commonly know as the Metro-East, is the second largest economic development area in population and the third largest in labor force totals in Illinois. Historically, this area is closely tied to the St. Louis Metropolitan Region in commerce, culture, and entertainment. Even though it’s a metropolitan area by definition, agriculture communities are also a large part of the Southwestern Economic Development Region.

The 2003 population estimate is 679,774 with a March 2004 total labor force workforce of 321,125. Madison and St. Clair countiesare the eighth and ninth largest in the state of Illinois with populations over 250,000. Calhoun County has the smallest population of the nine counties with only 5,000 residents. There are five cities with a population greater than 25,000 (Alton, Belleville, Collinsville, East St. Louis and Granite City) and numerous smaller communities scattered throughout the area. Population growth has increased substantially in outlying new suburban areas, especially in Monroe County.

The industry base is very diverse throughout the nine county region. Major established manufacturing firms are located near Alton, Granite City, and Belleville. Large shopping and commercial areas have developed along the interstate highways. Construction activity has been very significant in recent years as new housing subdivisions were developed throughout the region. Steady public works building on roads, the Metro-Link Commuter System, new schools, and commercial developments continued to boom. Significant government institutions include Scott Air Force Base, Greenville Federal Prison, Centralia Correctional Center, Murray Children’s Center, Menard Correctional Center, and Chester Mental Health Facility. Educational facilities include Southern Illinois University-Edwardsville, Principia College, Greenville College, McKendree College, Lewis & Clark College, Southwestern Illinois College, and Kaskaskia College. Even with all this urbanization, agriculture is still a major component of this area. Farming is significant not only in all the rural counties, but also the two most urban, Madison and St. Clair.

Commuting to neighboring counties for work is common, and a substantial number of commuters cross into Missouri for employment purposes. Easy commuting access is available via interstates 64, 55, 70, 255, 270 and the new extended Metro-Link through St. Clair County to St. Louis. According to Census figures, over 77,350 workers commute to Missouri daily including 32,950 from Madison County and 32,100 from St. Clair County. Even Monroe County with a total number of workers of 14,400, has over 6,000 commuters to Missouri. However, only 16,500 Missourians commute to this area for employment. This significant commuting pattern back and forth across the Mississippi River reinforces the strong ties within the metropolitan region. Understandably, most of the commuting for work or entertainment and services within the Southwestern Economic Development Region is to the two largest counties, Madison and St. Clair. The seven smaller counties have historically been and continue to develop into bedroom communities for St. Louis, Madison and St. Clair.

The median household income for Illinois, according to the 2000 Census, was $46,590. Although only Monroe County had a greater median household income ($55,320), most of the counties median household incomes were near $40,000 or more. The statewide percent of population in poverty was 10.7 percent in the 2000 Census. Only St. Clair County with a 14.5 percent poverty rate was greater than the statewide average. The 2003 annual average unemployment rate in the Southwestern Economic Development Region was 6.5 percent with over 20,000 jobless in a total labor force of over 320,000. Females are 48.3 percent of the workforce and continue to have an increasing participation rate. Most of the minority labor force is located in St. Clair and Madison counties and comprises about 12.5 percent of the total workforce.

Although employment opportunities have steadily multiplied over the past 40 years (ILMR: Winter 2001 “Metro-East 1965-Today”), the types of jobs available and the industrial distribution of the labor market have dramatically changed. The most significant reorganization has occurred with manufacturing industries being replaced by expansions in the trade and service sectors areas. Sizable workforce gains have also occurred in construction, financial activities, transportation/warehousing, and government. Since the mid-1960s, this region has been transformed from a largely goods-producing, manufacturing base to a service and trade dominated economy.

Over the years steady employment growth has dominated the labor force as the industrial and occupational composition has been constantly evolving. With accelerated developments in technology and increased consumer demands, continued rapid workforce changes and expansions are anticipated. The Southwestern Economic Development Region offers employment diversity with a gradually increasing population and an excellent transportation system that should continue to garner prosperity and expansion.