The Contract Cleaning Industry 2017
Price
R 1 900.00(ZAR) estimated $ 120.93 (USD)*
Report Coverage
The Contract Cleaning Industry report describes current conditions, market drivers, trends and challenges faced by role players as well as factors that influence the success of the sector. The report profiles 18 companies, including industry leaders Bidvest which increased its shareholding in Ikhayelihle Royalserve Cleaning Services Pty Ltd from 49% to 100% in 2016, Elite Cleaning Services, part of the BMC Group, and Supercare, which is part of the Compass Group. Also profiled is The Specialists Franchise Group (Pty) Ltd which has 65 franchise outlets offering commercial and domestic cleaning services.
The Contract Cleaning Industry
The contract cleaning industry, which forms part of the temporary employment services (TES) sub-sector, plays an important role in job creation in South Africa. Almost 100,000 people are employed by approximately 1,500 contract cleaning companies. 620 companies, including 49 suppliers of goods and equipment, were members of the National Contract Cleaners Association (NCCA) as of July 2017. Although companies are not compelled by law to join the NCCA, membership is mandatory if a company wants to tender for contracts. Another important group is the Black Economic Empowerment Cleaning Association (BEECA) which has 50 members.
Labour Conflict
The temporary nature of employment under fixed-term contracts and the associated lack of benefits are major sources of conflict between employees and large companies that provide contract cleaning services to clients such as universities, government departments and large corporates. In the university sector the ‘#FeesMustFall’ campaign extended to include demands of insourcing of services provided by contracted companies and in order to avoid further disruptions to tuition and damage to property universities started to implement insourcing measures. Employees in the sector expressed optimism that workplace deficits in the sector will be addressed by The Contract Cleaning Sector: Decent Work Programme which is to be released by December 2017.
Table of Contents
| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | DESCRIPTION OF THE INDUSTRY | 1 |
| 2.1. | Industry Value Chain | 3 |
| 2.2. | Geographic Position | 4 |
| 3. | SIZE OF THE INDUSTRY | 4 |
| 4. | STATE OF THE INDUSTRY | 10 |
| 4.1. | Local | 10 |
| 4.1.1. | Corporate Actions | 12 |
| 4.1.2. | Regulations | 13 |
| 4.1.3. | Enterprise Development and Social Economic Development | 14 |
| 4.2. | Continental | 16 |
| 4.3. | International | 17 |
| 5. | INFLUENCING FACTORS | 18 |
| 5.1. | Economic Environment | 18 |
| 5.2. | Rising Operating Costs | 18 |
| 5.3. | Information Technology, Research and Development (R&D) and Innovation | 19 |
| 5.4. | Standards and Compliance | 20 |
| 5.5. | Labour | 21 |
| 5.6. | Environmental Concerns | 27 |
| 5.7. | Electricity and Water Supply Constraints | 28 |
| 6. | COMPETITION | 29 |
| 6.1. | Barriers to Entry | 29 |
| 7. | SWOT ANALYSIS | 30 |
| 8. | OUTLOOK | 31 |
| 9. | INDUSTRY ASSOCIATIONS | 31 |
| 10. | REFERENCES | 32 |
| 10.1. | Publications | 32 |
| 10.2. | Websites | 33 |
| APPENDIX 1 | 34 | |
| Contract Cleaning Sector: Decent Work Programme - Summary of Priorities, Outcomes, Outputs and Activities | 34 | |
| APPENDIX 2 | 37 | |
| December 2016 Sectoral Determination 1: Contract Cleaning Sector | 37 | |
| APPENDIX 3 | 38 | |
| Labour Cost Example | 38 | |
| COMPANY PROFILES | 40 | |
| AFRICAN CORPORATE CLEANING (PTY) LTD | 40 | |
| BIDAIR SERVICES (PTY) LTD | 42 | |
| BIDVEST SERVICES (PTY) LTD | 45 | |
| CLEANING AFRICA SERVICES (PTY) LTD | 48 | |
| DEMOCRATIC CLEANING SERVICES (PTY) LTD | 50 | |
| EXCELLERATE SERVICES (PTY) LTD | 51 | |
| GLOBAL CLEANING SERVICES (PTY) LTD | 54 | |
| INDUSTRIAL WASTE AND ENVIRONMENTAL SERVICES (PTY) LTD | 56 | |
| METRO SANITARY SOLUTIONS CC | 58 | |
| RED ALERT TSS (PTY) LTD | 60 | |
| RENTOKIL INITIAL (PTY) LTD | 63 | |
| S A CLEANING SERVICES (PTY) LTD | 66 | |
| SERVEST (PTY) LTD | 68 | |
| SPECIALISTS FRANCHISE GROUP (PTY) LTD (THE) | 71 | |
| SUBURBAN SERVICES (PTY) LTD | 73 | |
| SUPERCARE SERVICES GROUP (PTY) LTD | 75 | |
| TMS GROUP INDUSTRIAL SERVICES (PTY) LTD | 78 | |
| TSEBO SOLUTIONS GROUP (PTY) LTD | 80 |
