Minimum Wage increases to impact Canadian cleaning industry

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Some of the other more populated Canadian provinces are experiencing wage increases.

Ontario, CANADA – In January of 2018, the minimum wage in Ontario, one of Canadas most populated provinces, jumped from $11.60 per hour to $14.00 per hour, and that rate will increase to $15.00 per hour starting January 2019.

This is not just happening in Ontario. Some of the other more populated Canadian provinces are experiencing wage increases as well.

According to Paul Goldin, president-elect of ISSA, the worldwide cleaning association, these wage increases are going to have significant impact on smaller businesses and definitely on the Canadian professional cleaning industry.

“Even those contractors that are paying more than minimum wage now, may find they have to pay higher salaries to keep their best employees,” says Goldin. “Otherwise, they may lose them and [then] be forced to deal with hiring and training costs.”

However, Goldin suggests there are ways Canadian cleaning contractors can address this challenge. These include the following:

Rewrite contracts

Long-term contracts must include a clause that monthly service charges may need to be adjusted if the minimum wage goes up.

Update cleaning methods

Too many facilities are still being cleaned the way they were cleaned 40 years ago. Contractors certified by ISSA’s Cleaning Industry Management Standard (CIMS) and CIMS for Green Buildings have been thought “best practices” designed to boost worker productivity and clean more efficiently.

Automate

Manual cleaning methods, for instance, traditional floor mopping, can be automated, significantly speeding up the floor cleaning process.

Cleaning solutions

High-performance cleaning solutions improve cleaning effectiveness and can speed worker productivity.

Go green

Green cleaning solutions have less impact on the health of cleaning workers, reducing absenteeism, improving worker morale and efficiency.

Customer selection

Contractors must evaluate current and future clients as to their profitability. Many times the profit margin on a very large client is so small, contractors may need to decide if it is worth keeping them.

“Smart” job elimination

Some employees may have to be let go. If this is necessary, determine which workers contribute the most to business operations. These people invariably will help contractors get the most bang for the paycheck.

About Avmor Ltd.

Avmor was founded in 1948 by Avrum Morrow and Henry Chinks. Being North America’s leading manufacturer and marketer of professional cleaning chemicals and sustainable solutions, Avmor has remained in the industry forefront by providing A More Complete Clean. Avmor’s commitment to ISO 9001 and ISO 14001 as well as cGMP (current Good Manufacturing Practices) procedures signifies the importance of delivering and ensuring best in class performance cleaning products while remaining competitively priced. Avmor’s customized training program and solutions promote and educate the market about the importance of clean to prevent sickness and disease. Our UL ECOLOGO, GREENGUARD Gold certifications attest to our dedication to quality, performance, and commitment as well as our responsibility to always provide optimal cleaning solutions while maintaining and enhancing health and safety standards of people and the environment. Avmor Ltd. is a privately held company.

Cleaning Business Today
is a publication of Tom Stewart and Derek Christian, who also partner in Castle Keepers House Cleaning, one of the fastest growing professional house cleaning services in the US.

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By |2018-08-31T15:58:51+00:00July 26th, 2018|Measuring Success / KPIs|