This is a post that I’ve wanted to do for some time, but the time has come to address it: prices.
Below is a link to the award we are under:
On a standard hour day, an adult casual employee is on $28.45/Hr. Overtime for the first 2 hours is $39.83/hr, and after 2 hours, it’s $51.21/Hr.
If a cleaner is charging $66/hr inc minus GST as it’s not profit = $60/hr = $31.55/hr after wage & before any costs come out. Keep in mind that GST doesn’t count as profit to a business as it’s payable to the ATO.
I was startled by a comment the other day: “I thought it was $30/hr for each cleaner onsite.”
If that’s the case, we as a business are only left with $2.86/hr before any costs come out.
Frightening to think people believe it costs nothing to run a business!!
Though times are tough, we need to support small businesses, and locally owned and grown businesses, or one day you will ask yourself where are they all gone?
One thing we don’t do as a business is compare our business to another cleaning business. Though we can learn from one another, outside of that, we stick to what we do and know. Obviously, we have to play our part in keeping our costs down and keep rates as low as possible, but to grow as a business, rates need to be at a level so you’re actually growing and able to grow.
Also, because we are under an award, we are bound by that award, which means we have to pay the award rate and any relevant allowances and overtime.
So in conclusion, before you try to squeeze a cleaner for a cheaper rate, let it be a reminder that it’s jeopardizing his or her business and a risk of putting them out of business.
Is it worth it?
Not hardly.
Take the time to ask questions or do research on business, or find a reputable company to talk to.
We as a business will certainly not sham contract our staff to avoid paying all the costs associated with having employees.
Cleaners reading this, charge what you need to, don’t risk your business for the sake of winning business, and do the right thing by your employees, as this affects the entire industry.
© 2021 – 2022 KINGDOM KLEANING
