Updated: Thursday, 07 Feb 2013, 6:59 PM EST
Published : Thursday, 07 Feb 2013, 6:59 PM EST
SPRINGFIELD, Ill. (WTHI) - Illinois Governor Pat Quinn proposed a 20 percent increase in the state’s minimum wage during his annual State-of-the-State address Wednesday.
Under the proposal, the state’s minimum wage would rise from the current $8.25 to $10 over the next four years. By way of comparison, the current federal minimum wage is $7.25.
Quinn said the change is necessary to keep working people out of poverty.
“Our businesses are only as good as the employees that drive their success,” Quinn said. “Nobody in Illinois should work 40 hours a week and live in poverty.”
Business groups and other critics, however, warn increasing the minimum wage by such a large margin over neighboring states could kill jobs and lead companies to leave Illinois.
Indiana State University economist Robert Guell said the reality is more complex.
“It would be relatively unlikely that there would be a quick move,” Guell said. “It is quite likely that, as Illinois’ minimum wage continues to rise and Indiana remains a state where the minimum wage is simply the federal minimum wage … more of that work would be done in Indiana.”
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