Businesses in Minnesota are feeling the strain as protests against ICE’s immigration enforcement continue to cause disruptions. From supply chain delays to concerns about employee safety and property damage, companies are dealing with familiar challenges. Yet experts say the bigger problem isn’t just the protests themselves, but the deepening political divide shaking the country.
Sam Wilkin, director of political risk analytics at WTW (formerly Willis Towers Watson), explains that polarization is affecting everyday life in new ways. It’s going beyond policy fights to shape personal relationships, including who people want to work or collaborate with. This divide is making it harder for companies to operate smoothly, especially those selling to consumers.
Unlike protests, which usually flare up over specific issues and then die down, polarization changes the whole social atmosphere. Wilkin points out that in a study covering over 100 countries, the U.S. stands out for increasing divisions not just in policies but in emotions and leadership trust, a mix that raises the chances of unrest.
This trend has roots going back decades, linked to major movements in the 60s and 70s around civil rights, gender equality, and the Vietnam War. But what’s puzzling is that even after many of those fights settled, feelings of division have kept growing, especially over the past 15 years. Social media likely plays a role by amplifying strong opinions, but Wilkin warns that older Americans—who use social platforms less—are also becoming more polarized, showing this issue is about more than just technology.
The divide often turns personal. People don’t just disagree on ideas; they actively dislike those with opposing views. A Pew Research Center survey from 2022 showed 72% of Republicans and 63% of Democrats believe the other side is more immoral, a jump from just a few years ago. Many Americans now struggle to agree on basic facts, making conversations and cooperation difficult.
One of the biggest worries for companies is how this split can lead to violence. While protests sometimes get violent, Wilkin notes that political polarization itself is linked to attacks on public figures and business leaders. This relationship feeds a dangerous cycle—exposure to violence can push people toward more violent actions in return.
The financial toll is significant. According to the U.S. Insurance Information Institute, losses from civil disorder hit an estimated $1-2 billion in 2020, the highest on record. Businesses are under pressure to protect their employees, leaders, and reputations from these risks.
Is there a way out? Research suggests that highlighting common values before discussing differences can ease tensions between people with opposing views. However, applying this on a large scale is challenging. Big events like wars or national crises have temporarily brought people together in the past, as seen in Ukraine after Russia’s invasion. But these moments of unity often follow serious conflict, something no one wants.
Some degree of polarization is natural in a democracy since it helps define political choices. Wilkin says, “People get more engaged in politics and more polarized, which is part of how politics works.” For now, companies must deal with the fallout. HR teams face workforces divided along political lines, and executives speaking out on social issues risks alienating employees or customers. Wilkin advises that businesses are increasingly seen as political actors, and there’s no stable ground in sight.
As Minnesota companies face protests and political tensions, the challenge goes beyond the immediate chaos. Deeper divisions in society are shaping business risks in ways that may not be easy to fix anytime soon.