Regional Market Outlook on Cleaning Services in Australia

Buyers can look at bundled services to reduce costs as cleaning companies are increasingly offering cleaning as a bundled service by combining it with other items.The Commercial Cleaning Services industry in Australia has recorded a revenue of approximately $8.77 billion in 2016. It has grown at a rate of 2.8 percent annually from 2013 through to 2018

cleaning services australiaSignificant Industry and Associated Trends- Australia

Buyers can look to engage with cleaning services companies who have a good labor management policy in place and a well-structured training program .There has been an increasing tendency to emphasize more on “Green Cleaning” as cleaning companies increasingly reduce the use of chemicals and utilize more innovative cleaning techniques

Labour Management: Management of labor plays a very significant part in the business of commercial cleaning in Australia. The labor content of any contract comprises about 70-75% of the actual contract price and subsequently the industry is aware of the importance of industrial relations issues regarding wage rates, shift and weekend penalties, etc. Australian productivity rates rank highest among the world (800 square metres per hour for commercial sites) compared to 400 square metres for the US and slightly higher for European countries

Training programs: Having well-structured training programs is key to enhancing the industry standards and professionalizing it. In the past, governments have endorsed training and funded the development of national competency standards by the Construction and Property Services Industry Skills Council, from a basic cleaning level to a Diploma in Management, delivered by Registered Training Organisations (RTOs). However, with decreased funding under the current government, the industry has shifted to online training mapped to competency levels

Enhanced focus on Green Cleaning and Health of Buildings: There has been more focus on ‘Green Cleaning’ and caring for the ‘health of buildings’ with the environment gaining increasing importance. Cleaning companies are reducing the use of chemicals , using more innovative cleaning techniques and microfiber. Adopting quality cleaning methods can also help to substantially reduce repair and replacement costs in the maintenance of buildings

National Standards: Though there are no uniform national cleaning standards in Australia similar to the Cleaning Industry Management Standard (CISM), the ISO is a firmly embedded Australian Integrated Management system. The cleaning industry comprises of a mix of established standards for cleaning systems, for chemicals, products and machinery manufacture, training and auditing standards.

Other Trends (Regional, Recruitment, Demographic) - Australia

Skill shortages are being addressed by imparting Certificate IV and Diploma Level Traineeships which have helped to enhance retention rates. Buyers can look to avail the benefits of a well-trained and skillful workforce

The Commercial Cleaning Centers are primarily located in urban areas like NSW and Victoria which have a high concentration of population and higher share of business, government, educational, healthcare and other institutions

  • Commercial cleaning centers are predominantly located in New South Wales and Victoria owing to the high concentration of population and the higher share of business, government, educational, healthcare and other institutions
  • Queensland also has a fair share of operators, though these are mainly small operations , primarily due to the geographic size and dispersion of the population
  • An increasing number of international students are being recruited by commercial cleaning companies in Australia
  • The minimal barriers in terms of compliance, qualifications, establishment costs makes the cleaning industry an attractive destination to new migrants
  • The main age group for workforce is 45-54 years (25-27%) and the median is 47 years (compared to 40 years for other occupations)
  • There is a high proportion of disadvantaged workers, including migrant and international students with poor English and literacy skills