UK
The UK laundry industry has seen cumulative costs increase by more than 15% in the four years up to April 2016, according to figures released by the Textile Services Association. For the first time, its quarterly Laundry Cost Index takes the introduction of a National Living Wage (NLW) into account.
The TSA’s laundry index tracks costs for labour, textiles, energy, diesel and other transport, and also includes a figure to represent other costs. The April 2016 index shows labour costs rose by 4.31%, and by 8.57% over the four-year period.
Chief executive Roger Salmon said the moral imperative of imposing the NLW is without question and, as this imposition covers all companies, TSA members are pleased to enhance the wages of their lower paid work force without risking any competitive disadvantage.
"It is nonetheless acknowledged that the laundry, textile rental and drycleaning industry faces considerable challenges in recouping these extra costs," he said. "This is especially the case for those companies with in the hospitality market, where the NLW will also have an impact, and the healthcare market with the draconian constraints on NHS costs."
