Story URL: http://news.medill.northwestern.edu/chicago/news.aspx?id=227485
Story Retrieval Date: 10/25/2014 1:17:13 AM CST

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Michelle Kim/MEDILL

Mia Robles says one of her favorite things about working at Sugar Bliss Cake Boutique is taste-testing cupcakes.


Higher minimum wages can benefit businesses

by Michelle Kim
Feb 04, 2014


min_wage_cupcake
Governor Pat Quinn is pushing to raise the minimum wage in Illinois up to $10 from $8.25, but will this hurt small businesses in Chicago? Owner of Sugar Bliss Cake Boutique, Teresa Ging, has been paying her full-time employees more than the minimum wage for years. She even offers healthcare benefits. Some people may think that raising the minimum wage will hurt small businesses, but Professor Patrick J. Murphy at DePaul University says the opposite is true. He talks about how higher pay can help with turnover rates and bring more talented people to the workplace. It could be tough short-term for companies to manage people their employees more, but he says it will help companies learn how to survive by being smarter.