Over the last year, management of Clean and Pink has gained customers for various reasons. Additionally, Clean and Pink has lost a few clients during the pandemic for various reasons. We want to provide a few points to consider, especially for those that may not truly understand why industry service is being compromised.
First, the Labor shortage has been an issue, not only for small businesses but most business across the United States (and beyond). Some have not been directly impacted by the labor shortage however have felt the ripple effect of inconvenience in product-to-market delivery. Either way, some grew during COVID but many CLOSED. Small business along with others are essential for growth and are the backbone to our United States, yet forced closure and bankruptcies are at an all time high in 2021.
Second, in addition to the 9.3 million job openings, various economic indicators strongly support the idea that there aren’t enough workers in the United States. The average hourly wage for private non-farm workers rose. $0.20 in April, $0.13 in May and $0.10 in June. In March 2021 the reservation wage for workers without college degree rose by 26% year over year. The number of people voluntarily leaving their jobs rose by 164,000 to 942,000 in June 2021. https://www.mckinsey.com/business.
Third, from an economic standpoint the service Industries took the brunt of the pandemic storm, with bankruptcy, loan foreclosures, and “Closed for Business” signs at major retail and dinning locations across the country. Airline, Auto and Parts, Oil and Drilling, Hospitality- Restaurant and Leisure and Service where among the top 5 hit along with entertainment and Gambling which are no longer in the top 5. https://www.spglobal.com/marketintelligence Meanwhile, today we still have ships parked at sea. Mass chaos causing destruction to us all, directly, or indirectly.
Lastly, The United States economic derivatives show that we have a major problem, that will take years of focus, action, leadership, and economic growth. https://www.pnas.org/content/117/30/17656 Proceedings of The National Academy of Science of the United States of America Article: The Impact of COVID-19 on small business outcomes and expectations.
This is not a political statement from a company or a personal perspective rather an educated vision, in that companies in the service industry be forthright in communication with customers, management or business owners need to lead their employees and customers need to communicate any dissatisfaction with management; so, conflict negotiation can be civil and properly executed. Insubordination form employees shall not be tolerated, so businesses need to take on less with less to have more in the future.
Article written 10.11.21 Founder; Former Owner of Clean and Pink Co.- Heather Donaho