For less consumer-oriented laundry and for those with a focus on the hospitality industry, the financial endurance is in many cases limited to 1-2 months. Big alerts and short-term permits are already laid. We have an acute crisis.
We need powerful support that allows vulnerable companies to survive the current shutdown due to the Corona pandemic. An urgent government decision to extend the route deduction could give the industry better prospects. The extension of routing is, in many ways, a self-financed proposal that almost all, if not all, parties agree on.
The investigation is complete
For two months now, the government has had a report on its desk - SOU 2020: 5 "More route services and a higher ceiling for the route deduction". It contains proposals for extending the square deduction to also include laundry at professional laundries and transport from and to the home. For the customer, the washing cost is reduced by 25% after square deductions. According to the investigator, this could include:
- Employment increase in the industry with 1 people
- 300% increased sales in water washing for consumers
- Positive labor supply effects, possibly reduced sickness absence from stress
- Positive for economic equality
- Reduced undeclared work
Solves life puzzles
In combination with service and goods transport from and to the home, implementation can directly contribute to both strengthening the severely exposed consumer laundries and to solving laundry tasks in times of social distance to contribute to the spread of infection. Consumers need not go out to visit the laundry room or to visit the laundry.
The extension of the routine deduction makes it easier for families with children and the elderly when they can get help with the life puzzle. The quality-assured processes of professional laundries are completely set to reduce resource use. From a climate and environmental point of view, it is also perfectly right to move laundry to optimized facilities.
The agreement has already been made
The route extension has already been agreed between the January parties and is in the previous M-KD budget. The proposal is currently on a referral basis and the measure is scheduled to be introduced on January 1, 2021. Unfortunately, it may then be far too late. The government needs to act vigorously now for companies to have an opportunity to survive.
Our industry is an integration engine
Today, approximately 5 people work in the laundry and textile service industry. The industry is staff-intensive, salaries account for 000 per cent of costs, and usually employ many young people, many without completed education and many who are born abroad. This means that the industry normally functions as an efficient integration engine where there are great opportunities for people who are far from the labor market to get a job. When our industry fails, it creates extra serious rings on the water, both in the short and long term.
The rut reinforcement is a simple feature. What is required is a swift decision and demands on simple administrative routines that do not support the businesses that are now fully replenished with all new regulations regarding short-term severance pay, employer contributions, sick pay, etc. In addition, further measures are required. Generally, it is about tackling liquidity problems and creating the conditions for not having to terminate staff in both larger operations and less family-owned. This means rescue compensation in the event of a sharp drop in turnover, support for taking fixed costs in the operations and temporarily eliminating employer fees and deductibles.
We want power now
- We can't wait for 1500 new jobs. Introduce grid deductions for the laundry sector now.
- Rescue compensation in case of income fall.
- Companies with fixed costs such as rent, leasing of machines and work clothes, entrance mats, beds and bath textiles etc. should be covered by general support primarily from March to June, according to the Danish model.
- Employer fees and taxes should be reduced year-round. Deferred tax should be given at very low or no interest rates.
- Short-term leave up to 100% of working time.
- Active work to find multiple-time alternatives to the disposable items used in healthcare, ie washable solutions that can supplement / replace when or before deficiencies occur.
Chairman of the Swedish Textile Service Association
Vice Chairman of the Swedish Textile Service Association