Andrzej’s Blog: Understanding our charges

One thing I get many questions from clients about is how our hourly rates break down. Sometimes they wonder how much of the charge the cleaners actually take home in wages, other times they want to understand how we’re not able to match the cheaper rates apparently offered by other companies. I thought I’d be very open with you all and explain how we come about the price.

Our standard hourly rate is £12 an hour. This breakdown is based on a cleaner earning the National Minimum Wage, and working 40 hours a week. However many of our members of staff will earn up to £7.50 depending on length of service. So:

£6.50   for the cleaner’s wage

£0.36   for employers’ National Insurance contributions

£0.62   for holiday pay

£2.00   VAT

£2.52   Corporate taxes, office staff, office rental, staff bonuses, travel, Health and Safety training, advertising, insurance, compensation, sick pay, stationery, phone line and internet charges, and lastly, a small profit.

As you can see, that last £2.52 has to cover many things that are essential to the viability of the business. I’m quite convinced that £12 an hour is the minimum a company can charge and still be operating within the law and treating their staff as properly paid employees with holiday and sickness leave.

Some people hire a private cleaner directly, which can cut costs, but there are also a number of disadvantages. If the cleaner is sick or on holiday, there won’t be anyone to cover. If there are any problems with the service, there is no manager to call to resolve the issue. The cleaner may also not have liability insurance, meaning the client could be out of pocket should there be any damages. Overall, it’s a riskier business than using a proper company.

I hope you’ll see now how I feel that £12 an hour offers good value for money, with a reliable, trustworthy service for our clients, and decent terms and conditions for our members of staff. Please don’t hesitate to get in touch if you have any questions.

Andrzej

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