Jul 27, 2006 7:15 pm US/Central
Fallout Continues After Big Box Ordinance Approval
CHICAGO (CBS) ―
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There's more fallout from the passage of the big box ordinance in Chicago.
It mandates a $10 minimum wage for employees of stores such as Wal-Mart and Target by the year 2010. Those chains are now reportedly reviewing plans for future stores in the city.
Wal-Mart vows to continue construction on its first store in Chicago.
The Illinois Retail Association says companies were shocked by the passage of the ordinance Wednesday.
It predicts workers will end up paying a steep price.
"I've been told they're going to fire people, that they're going to lay people off so they can meet their budget. I also heard the stores are canceling plans to build in the City of Chicago," the retail association's David Vite said.
"I believe they'll still come. It may be six months or eight months, but I can't see anyone walking away from dollars," said Chicago Federation of Labor President Dennis Gannon.
Mayor Daley is opposed to the living wage ordinance. At the moment, there may be not enough votes in the City Council to sustain a possible veto, but the issue could end up being resolved in court.
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