Issue key in governor's race, while making progress in legislature
While
the battle over the minimum wage at the federal level has drawn extensive media
coverage, there is also significant action at the state and local levels.
Raising the minimum wage has become a key issue in the Illinois gubernatorial
contest, which pits Gov. Pat Quinn (D) against challenger Bruce Rauner (R),
while a bill to increase the wage has also made progress this month in the
state legislature.
Quinn has made raising the minimum wage to at least $10 an hour a cornerstone
of his campaign, and used the issue to attack Rauner, a wealthy hedge fund
manager, as unsympathetic to workers. The issue is also being pushed by the
SEIU, which has endorsed Quinn and has provided him with significant amounts of
campaign cash. Rauner originally suggested that he would consider lowering the
state’s $8.25 minimum wage, but later changed his tune and said he would
consider raising it under certain circumstances.
In the state legislature, a bill from state Sen. Kimberly Lightford (D) to
raise the wage to $10.65 per hour cleared a Senate committee in mid-March. Her
legislation would be phased in by the middle of 2016. Her bill would give the
state the highest minimum wage in the nation. A similar bill has been
introduced in the state House, but has not yet been acted upon.
In addition, there is also an organized effort in Chicago to increase the
minimum wage even higher. Unions and some Democrats have pressed for a $15 per
hour wage, though in their proposal, the increase would only apply to large
businesses. The issue was on the primary ballot in some parts of the city
earlier this month, and passed overwhelmingly, with 87% of voters backing it.
While the referendum was non-binding, wage-hike backers celebrated it, and
argued that it shows the issue has momentum both in the city and in the state.
What It Means for Small Businesses in Illinois:
The potential
implications of a sharp rise in minimum wage for small business could be
serious. The measure is opposed by a number of state business groups, and
NFIB’s Kim Masich said that the Lightford bill could cost the state 45,000 jobs
over the next ten years. That estimate comes from an NFIB study examining the impact of the
proposed increase.
Further Reading:
Crain’s Chicago Business reports on the
issue’s implications in the gubernatorial contest, as does WBBM-TV. The Springfield State Journal Register covers
the action in the state legislature. The Huffington Post covers the Chicago ballot
question, as does the Chicago Tribune.
Do you own a business in Chicago? Become an NFIB member today and join
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Learn more about NFIB in Illinois.
