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May 15, 2013

Exclusive: 2010-2011 Textile Care Processing Cost Benchmarks

CHICAGO — Data compiled from more than 470 domestic and international healthcare and hospitality laundry facilities

CHICAGO — Having received numerous requests for newly revised information on this subject, I have reviewed the volumes of information obtained from both healthcare and hospitality laundry operations worldwide for 2010-2011.

I did my best to convert foreign cost to U.S. cost—both were changing rapidly as of December 2011—and discovered that our foreign counterparts were, in most segments, slightly more cost-efficient and, due to exchange rates, getting more production for the money simply due to the value of certain currencies, lower fringe benefit cost and higher degrees of automation. (I am pleased to report that this gap is closing rapidly.)

There could be numerous explanations, of course, but the primary reason was the vast difference in labor and fringe benefit cost in our country vis-à-vis other foreign locations, primarily those in Europe, Russia and the Far East.

The basis for this analysis was to determine benchmark alignments once various currencies were adjusted to match the U.S. dollar. Both higher and lower extremes in costing for each element were evaluated for accuracy. A group of independent accounting specialists who volunteered its time was utilized to draw the various conclusions reached in the report. Foreign laundry experts assisted in the translation of some information.

Throughout the process of validating accuracy of the data provided and drawing comparisons, the identity of each facility remained confidential. Each facility was simply referred to as a number or letter, depending on the type of operation: healthcare or hospitality. For those with a combination of tasks, every effort was made to categorize each element.

Every facility that supplied information has done so every year since this periodic review began.

2011 FORECAST ON TARGET?

As consultants and various levels of internal management continue to overly complicate laundry operational cost scenarios, as well as depicting systems that may not prove cost-effective, it is apparent that laundry and facility managers, as well as top executives with a renewed interest, require a cost benchmarking rule of thumb that will assist them in selling their operations, i.e. justifying new systems or a new facility, obtaining new customers and, probably most important, comparing variable cost that should influence decisions to continue in-house operations or examine outsourced management, operations, linen rental, transportation, etc.

I remain amazed that folks who seem to be knowledgeable simply complicate data in such a form that it becomes extremely difficult if not impossible to interpret. The same situation applies when reviewing opportunities to automate and modernize operations. It is apparent in some cases that new operations with new systems are not as cost-effective as planned, mostly due to a misunderstanding of previous cost and the industry’s promises to improve on the status quo.

Institutions, general contractors and A/E’s that hire consultants to review laundry facility operations should also continue to rely on internal expertise and experience, I believe. The institutions should also ensure that the consultants and experts selected are experienced in reviewing all applicable operational elements. A consultant with expertise in energy management, for example, may not be qualified to review laundry production or linen distribution.

It is quite apparent that large laundry and linen-rental consortiums that deal specifically with healthcare markets are becoming more competitive. As business tends to escalate, and based on recent information, cost seems to be leveling out to some degree, with the exception of the impact of high cotton cost and, most recently, fuel cost.

My previous forecast that total cost of operations may reach $1.10 per pound processed/delivered by 2013 seems right on target. The rising cost of healthcare insurance benefits enacted as a result of healthcare reform could dramatically increase the cost of operations and associated product and equipment purchases in 2014.

A review of approximately 473 healthcare and hospitality laundry facilities located in the United States and 23 foreign countries with operations that process a combined 276 million pounds annually with varying degrees of efficiency reveal the following benchmark costs (in U.S. dollars) that should be deemed most efficient on the average, even though most every facility demonstrated opportunities to reduce cost, especially in labor-sensitive areas.

Most important to note in this analysis were the plans to reduce labor and utilities cost related to washing, drying, conveyance, and flatwork feeding and finishing. These facilities also reported that major efforts were under way to reduce textile-replacement cost through standardization efforts and by examining best value over lowest cost for an item. It’s unfortunate that the federal government seems to continue to focus on lowest cost rather than the impact of overall cost.

Other major components under review seem to drive at lowering chemical cost by conducting actual comparisons and focusing on the customer service element that is so critical to this facet of the operation.

The variables between healthcare and hospitality cost were certainly interesting. Hospitality was higher on the average, which was expected, with the average variance being between 6 and 7 cents per pound processed. This was mostly attributed to the higher quality/cost of textiles acquired, which is significant.

PRODUCTION COST BENCHMARKS

Processing Cost: Direct labor costs, including fringe benefits (health insurance, retirement, etc.), which are applicable to the receipt, sorting, washing, drying, ironing, conveying and preparing of textiles for delivery within a laundry processing facility. — 18-23 cents per pound processed

Administrative Cost: Covers personnel in laundry and textile product management, secretarial, contracting administration, general foreman and nonproduction employees/housekeeping (includes fringe benefit costs, such as union dues, health insurance, etc.). On average, fringe benefit costs were running at 24-32% of actual salary cost (in other words, add that percentage to base salary cost). — 3-5 cents per pound processed and delivered

Maintenance and Repair Cost: Labor cost and materials associated with routine maintenance of applicable systems, including processing and ancillary support equipment, carts, etc. — 7-11 cents per pound processed and delivered

Equipment Depreciation: Divide equipment value by 15 years. — 4-6 cents per pound processed

Depreciation of Property and Applicable Property Taxes: Divide aggregate cost of land and building plus annual taxes by 75 years. — 3-5 cents per pound processed and delivered

General Supply Cost: Includes leasing of office equipment, office supplies, covers, pads, hangers, thread, wax, patches, buttons, etc. — 2-4 cents per pound processed

Chemical Supply Cost: Laundry chemicals, water treatment, etc. — 3-5 cents per pound processed

Utility Cost: Electrical, steam, gas, water, oil, sewer, refuse removal, and solar. — 8-10 cents per pound processed

SUBTOTAL: For a most efficient operation, Production Cost should be 48-69 cents per pound processed.

TEXTILE DISTRIBUTION AND REPLACEMENT COST BENCHMARKS

Textile Distribution and Return Cost: Includes drivers, fees, tolls, leasing, fuel, vehicle maintenance/repair, linen room distribution (from cart assembly to end-user locations) labor and benefits, seamstress/repair/marking, uniform distribution, cart depreciation and replacement, and transportation to external customers. — 13-15 cents per pound processed (within this component, fuel cost was 4-5 cents per pound processed)

Textile Cost: Surgical, uniforms, general textiles, drapes and other textiles based on a seven-par maintenance value for healthcare or hospitality. — 17-21 cents per pound processed

SUBTOTAL: Textile Distribution and Replacement Costs should be 30-36 cents per pound processed and delivered.

TOTAL OPERATIONAL BENCHMARKS

The overall operational cost benchmark ranged in 2010-2011 from 78 cents to $1.05 per pound processed and delivered.

While the overall variance in cost ranges is certainly widespread, a manager must carefully and accurately calculate all costs associated with the actual operation—all are different.

A major failing on management’s part is the inability to calculate fringe-benefit cost and include it as part of the outcome. Calculating production cost while forgetting other costs simply raises additional questions. All costs depicted in this benchmark exercise are considered equally important; one without another would have painted an inaccurate picture.

If, for some reason, you think your costs are lower than the benchmark’s lowest range, I encourage you to re-examine and recalculate your numbers. More importantly, make sure you have included all costs so they parallel those listed in this report.

EXPECT COST INCREASES IN TEXTILE REPLACEMENT, TRANSPORTATION

As mentioned in my previous analysis, textile replacement cost and transportation cost for 2010-2011 did reflect marginal increases.

April 29, 2013

Lavatec Inc. Now Headquarters for Lapauw of America

NAUGATUCK, Conn. — U.S. company to promote Belgium manufacturer’s full product range

NAUGATUCK, Conn. — Lavatec Inc. has become affiliated with Belgium-based manufacturer Lapauw and is now the headquarters for Lapauw of America, according to Bruce Burmann, vice president of sales for Lavatec Inc.

Lavatec Inc. provides Lapauw with a “major hub for the sales and service of its machines in the U.S. market as well as South America, Central America and Canada,” he says.

The agreement, which was established in close cooperation with Goudkuil Laundry Machinery (which acquired Lavatec Inc. in 2011), brings Lapauw in as a “main investor,” Burmann adds.

Lavatec Inc.’s sales network will promote the complete Lapauw product range, which includes flatwork ironers, feeders, folders, washer-extractors and tunnel finishers.

Lapauw is seeking to further enhance its after-sales service in the American market. Lavatec Inc.’s technicians will receive extensive training on Lapauw machines. A local service unit will not only enable the continuance of service toward existing and new Lapauw customers, Burmann says, it will enable the enhancement of service in terms of local spare parts stock and availability of engineers.

Lavatec Inc. technicians will also be called upon to start up Lapauw installations in the American market.

“With Lavatec Inc., Lapauw immediately has over 42,000 square feet of manufacturing space at their disposal, which fits in perfectly with its close-to-the-market manufacturing strategy,” Burmann says.

March 12, 2013

Magazine Names UniFirst One of ‘50 Best Companies to Sell For’

WILMINGTON, Mass. — Salary, incentive pay plans, training programs among factors assessed

WILMINGTON, Mass. — UniFirst Corp., which supplies and services uniforms, workwear and protective clothing throughout the United States and Canada, was recently named one of the “50 Best Companies to Sell For” in North America by Selling Power magazine, a publication that provides business readers with practical solutions for their sales management challenges.

All companies earning a spot on the magazine’s listing were assessed on factors such as salary, incentive pay plans, training programs, career mobility, and more. The magazine’s corporate research team also conducted supplemental research on all “best companies.”

Following a detailed analysis, companies were given favorability scores and 25 were ranked under a “Service” category; another 25 under “Manufacturing.” UniFirst garnered the No. 19 spot within the Service category. Other companies appearing on this list were Google (No. 21) and Marriott International (No. 24).

“We consider ourselves a career-building company, and believe our training programs and support services are innovative and highly effective,” says Jerry L. Messenger, director of sales support at UniFirst.

In commenting on the 50 select companies, including UniFirst, the editors of Selling Power stated: “Anyone entering the sales field should begin his or her sales effort by taking a good look at these top companies.”

March 7, 2013

The Fine Art of Fine-Tuning: Soil Sorting

ROANOKE, Va. — This area varies by laundry, and its process quality can have major impact on overall operation

ROANOKE, Va. — It seems that making the required adjustments in your laundry operation is a never-ending process. We must consider a number of variables as we make periodic adjustments to our operations. With this in mind, I have decided to discuss—over the course of the next several months—the factors and opportunities available to every manager in fine-tuning their operation.

First, let’s take a look at the soil-sort department. This area varies by laundry, and the quality of the process in this area can make a major impact on the overall operation. I guess the first decision to be made is whether we are going to sort the soiled linen or not.

It used to be a popular idea, both in Canada and the United States, to sort healthcare linen after it had been washed and decontaminated. I know of a number of laundries in both countries that have abandoned that idea in an effort to reduce chemical, labor and linen-replacement costs.

The purpose of sorting soiled linen is to remove trash and other foreign material before the linen is washed, and to facilitate the proper cleaning and handling of the linen through the laundry.

The larger the laundry, the greater the number of sorting classifications. Smaller laundries may mix all large dry items together, while large laundries will sort thermal blankets, bath blankets, knitted contour sheets and incontinent pads into separate classifications.

The more detailed the sort, the more the wash formula and the drying times can be customized for each individual product. (The ability to fine-tune a dryer formula will be considered in a future column.)

Ideally, linen should be handled as few as times as possible as it moves through the laundry. A thorough soil-sort process eliminates the need to sort the product after it has been washed and conditioned or dried.

For example, we use a soil-sort classification just for our white hospital bath towels. This allows the operator on the small-piece folder in the production area to quickly process the items without having to handle unrelated items. Once processed, the items are placed in stacks of 10 on a conveyor belt that moves through an automatic tie machine and then delivers the product to the cart make-up area.

Bath towels are only touched three times before they are ready to be packed for orders: during the soil-sort process, as they are fed into the small-piece folder and, finally, as they are put on the conveyor. This economy of effort leads to a highly efficient and effective laundry.

In reviewing the soil-sort area of the laundry, I will normally check the established classifications to determine if they still meet the needs of the laundry. I check to see how many times each must be handled before the product is ready to be placed in carts for delivery. This survey tells me if I need to add or subtract soil-sort classifications.

I will also review what percentage of my overall work volume is represented by each classification. I want to make sure that high-volume items receive the greatest amount of attention. I also use this information to make sure that all high-volume items are placed in appropriate positions along the soil-sort platform. Efficiency can be improved when high-volume items are placed in the best positions.

It is important to remember that the mix in your laundry will change over time. Your process requires periodic review to ensure that the underlying mix has not changed.

Review and re-evaluate production standards for this area during this fine-tuning process. Changes made in the number of classifications and the placement of each in the soil-sort area will impact an employee’s productivity. Being able to measure the impact of the changes and validate that you have improved your operation is a critical component in being a good manager.

Finally, assess the quality of your soil-sort process. How many items are showing up in the wrong category? A bath towel accidentally sorted into a load of white sheets will need to either be rewashed or gathered, dried and then routed to the appropriate finish area. The most economical way to process linen is to do it right the first time. Tracking the amount of linen that is incorrectly sorted can give you an ongoing measure of your soil-sort area’s effectiveness.

January 23, 2013

Dickies Occupational Wear Grows Key Segments, Expands into Canada

FORT WORTH, Texas — Company offers comprehensive uniform options across industries

FORT WORTH, Texas — The occupational wear division of Dickies is expanding its product offerings and geographical availability so that it can more fully and efficiently serve a growing customer base, the company reports.

Beginning this month, Dickies offers customers in the food service, hospitality and healthcare industries “head-to-toe” uniform options, including juniors sizing and footwear, as well as a full range of men’s and women’s uniform apparel needs.

In addition to servicing customers across the United States, the division now also provides workwear uniform solutions for customers across Canada.

“We’re pleased with the progress we’ve made in the last two years to provide our customers with deeper inventories, faster turnaround times and same-day service on Dickies’ core industrial product line,” says Alex Smith, senior vice president of occupational wear at Dickies. “The Dickies Workwear Delivered service model has been well received in the marketplace and our category expansion and entry into Canada is the natural next step.”

Dickies also plans to expand its healthcare presence later this year. The company services healthcare workers with uniforms and is now preparing to launch a full line of industrial laundry medical scrubs.

“Dickies has a strong retail presence in the scrub category,” Smith says. “We are excited to leverage that brand strength to offer an industrial laundry-friendly scrub line that will allow our customers to grow their healthcare business.”

A product launch for the tactical and government sectors is also planned this year.

January 21, 2013

LG Appoints Gutierrez National Sales Manager for Commercial Laundry

ENGLEWOOD CLIFFS, N.J. — Former Mac-Gray route sales manager brings more than two decades of experience to new role

ENGLEWOOD CLIFFS, N.J. — Industry veteran Gustavo Gutierrez has been named national sales manager of Commercial Laundry Systems for LG Electronics USA, the company reports.

Gutierrez brings more than two decades of experience to his new role at LG, where he will be responsible for developing and managing programs to differentiate LG in the on-premise/coin and route/multi-housing laundry markets in the United States.

“Gustavo’s extensive experience in the commercial laundry industry will take our leadership to the next level as we work to become a significant player in the U.S. marketplace,” says Stefan Meir, Commercial Laundry director, LG Electronics USA. “His vision and leadership will help gustavo gutierrez lead to the continued expansion of our route network, as well as attracting new, high-quality distributors.”

Gutierrez comes to LG Electronics from Mac-Gray, where he served as a route sales manager in the South Florida market. While there, he also launched The Bid Shop, an online platform to connect service professionals with companies looking for proposals.

“LG’s innovative laundry products offer an exciting opportunity for our distributor network,” says Gutierrez. “My focus is to build on LG’s momentum to help the business grow further and enjoy a similar strong reputation in the commercial space as it has in the consumer laundry market.”

January 16, 2013

2013 Panel of Experts Ready to Answer Industry Questions (Part 2 of 3)

CHICAGO — Meet its representatives from the hotel/motel/resort, consulting services, and commercial laundry sectors

Hotel/Motel/Resort Laundry: Charles Loelius, The Pierre New York, New York, N.Y.

charles loelius First, it is an honor to be once again selected for this Panel (Editor’s Note: Charles served on the Panel in 2010), and I hope to continue to share the benefit of my experience with the readership of American Laundry News.

I have been in the commercial laundry industry for 30 years, having operated healthcare, hospitality and uniform plants throughout the United States. The laundries have ranged in size from 10 million to 40 million pounds annually, and have operated in both union and non-union environments.

I have a wealth of experience in production, distribution and service management, as well as budget preparation and financial analysis—skills honed during my seven years on Wall Street.

During the past nine years, I have concentrated on the hospitality side of laundry management, presently operating an OPL for Taj Hotels at the Pierre New York, as well as serving as a consultant for our sister property, Taj Boston.

I have served on the faculty of NYU, teaching laundry and dry cleaning operations as part of NYU’s Hospitality Management program. I also maintain several industry-recognized certifications in laundry, dry cleaning and linen management.

As director of Laundry Services for The Pierre New York, I am responsible for the day-to-day service, production, distribution, maintenance and procurement for this Five Diamond hotel’s laundry and dry cleaning operations.

During 2012, the laundry processed 2.5 million pieces of rooms and food-and-beverage linen, which represented a 23% increase over 2011. Additionally, it processed more than 350,000 pounds of garments during 2012, representing a year-to-year increase of 11%. Increases in productivity were achieved without any increase in expenses.

The biggest challenges I face at the Pierre today are similar to the challenges faced by the entire industry: providing the best possible products and services at the lowest possible cost.

Consulting Services: David Bernstein, Turn-Key Industrial Engineering Services, Charlottesville, Va.

david bernstein I am senior vice president of Turn-Key Industrial Engineering Services, a consulting firm that has been serving the laundry, healthcare and hospitality industries for nearly 15 years. We are an industrial engineering firm that designs, builds, retrofits and improves the processes and profitability of laundry facilities throughout the world, using professional design, lean manufacturing and project management techniques.

As our name implies, we perform these services “turn-key,” which means we can deliver a multitude of services, including facility design, RFP development, project management, process improvement and Lean Six Sigma implementation. Our team of Lean Six Sigma-certified engineers and consultants have extensive experience in the industry, and have helped our clients save money, labor and increase throughput, often without the need for added expense or equipment.

As the fourth generation of my family in this industry, I have a lifetime of experience and more than two decades of professional work in laundries, starting with my tenure as vice president and, later, president of Consolidated Laundry Machinery Co. I worked in all aspects of CLM’s manufacturing, sales and marketing of laundry machinery, and helped our customers with specification, layout, upgrades and improvements to their plants.

I moved into industry advocacy and education as the director of Plant Operations, Customer Service and Information Technology for the Uniform and Textile Services Association (UTSA). The industry was under close scrutiny by OSHA, Congress and safety regulators at that time, and I led the effort to create an industry-wide health and safety program that reached more than 65,000 employees in more than 1,000 plants nationwide, produced an industry-specific safety training DVD, and created a stronger, more positive relationship with OSHA and Congress for the industry.

Following UTSA’s merger with TRSA, I spent more than three years as the chief operating officer at F-MATIC, where I helped lead the development of several new sanitary supply products and product lines, improved and diversified the company’s international supply chain, reduced operating expenses and increased revenues.

I am a two-time past chairman of the UTSA Plant Operations Committee, a former member of the board of directors of the Western Textile Services Association, a long-time instructor at the industry’s Production Management Institute (PMI) and Maintenance Management Institute (MMI), and a recent addition to the faculty of the American Laundry and Linen College (ALLC). I am also honored to be among an elite group of industry leaders to have been named to the Plant Operations Hall of Fame.

I hold a bachelor’s degree from the University of California, San Diego, and live in Park City, Utah, with my wife and two daughters. I am an avid cyclist, skier, sailor and private pilot.

What challenged our clients in 2012 was the continuing difficult economy and the need to find ways to adapt. Laundries in all segments of our industry fought to increase productivity and safety, while dealing with ever-increasing costs of doing business, challenges from unions, and increased regulation. These challenges will no doubt continue in 2013 and beyond, and I expect my colleagues and I, both at Turn-Key and on the esteemed Panel of Experts, will increasingly be called upon to assist the industry with meeting them head-on.

Among Turn-Key’s accomplishments in 2012 were designing and breaking ground on a new healthcare laundry for a client in Florida, designing a new state-of-the-art hospitality laundry for a major international resort and entertainment firm, and helping numerous operators (both large and small) reap the financial and productivity benefits resulting from the implementation of process improvement and the application of Lean Six Sigma methodologies.

Commercial Laundry: Richard Warren, Linen King, Conway, Ark.

Richard Warren I work for Linen King, which owns laundries in several states. We provide COG (customer-owned goods) service, as well as linen rental to hospitals. I am the general manager of the facility in Conway, Ark. I have been here since Linen King acquired the facility from my previous employer in 2007, and am honored they kept me. I have worked at this facility since 1994.

Upon high school graduation, I had no idea what to do. Some said I had no clue. The first real job I had was in a shirt laundry. They must have liked me, because I was promoted to washman. It seemed like wherever I went, there was always a laundry that needed help, and I was fortunate to be able to provide that for them.

I got involved with an industrial laundry and learned a lot during the years I was with them. My production experience started in an industrial laundry. For several years, I owned a small group of leather and fur cleaning stores. For many years now, I have been in the healthcare laundry service, both OPL and commercial.

From time to time, I talk to people about careers in laundry. It certainly doesn’t sound like a sexy career, but it is a good industry, and is generally more stable than many other industries. There are also many companies that supply our industry with textiles, machinery and chemistry, so being involved with a laundry can be rewarding.

Our workers really enjoy coming to work, and reducing the big pile of unfinished linen. An hour or so later, that pile is ironed, folded, and looks, feels and smells nice, with the workers ready for another load. Frankly, it takes a while to learn the rhythm, but when it starts to work, it is fun.

Tuesday: Introductions to representatives of the chemicals supply, equipment manufacturing and uniforms/workwear manufacturing sectors...

January 2, 2013

TRSA Clean Show Reception

Representatives of uniform and linen supply companies attending the June 20-22 Clean Show in New Orleans are welcome to enjoy TRSA’s day-before-show reception, a tradition long recognized as the industry’s most popular social event. Clean is the Main Street for the laundry and drycleaning industries. It is the best opportunity in the U.S. to witness hands-on displays of equipment and supplies from competing vendors. TRSA is excited to gather the leading companies from the textile services segment in one place at our reception to demonstrate the buying power of the industry and how it drives Clean.

January 2, 2013

TRSA Webinar: Best Safety Reporting Practices

2 p.m. Eastern Time

Properly completing and filing OSHA forms enables management to concentrate safety and loss control resources on the areas of greatest return through programs specifically designed to reduce injuries, provide a safer work environment for employees, increase production and reduce claims. The webinar will cover step-by-step instructions for completing Forms 300 and 300A and guide your reporting of injuries and illnesses, including repeated hospitalizations, to OSHA. You’ll learn the meaning of “recordable” incident. With the Jan. 31 deadline for Form 300A fast approaching, you won’t want to miss this timely presentation. Presenters will be Erica Arnold and Matt Wawak of Cintas Corp. and Leah Boyd of Washing Systems, LLC.

Free to TRSA members at https://www3.gotomeeting.com/register/578939606

Nonmembers register at http://www.trsa.org/product/webinar-live-access-non-member

December 20, 2012

IAHTM Announces Officers and Board Members for 2013

SHAWNEE MISSION, Kan. — International Association for Healthcare Textile Management composed of CEOs who run laundry cooperatives

SHAWNEE MISSION, Kan. — The International Association for Healthcare Textile Management (IAHTM) has announced its officers and board of directors for 2013. Officers include:

President Ed McCauley, United Hospital Services, Indianapolis, Ind.
Vice President Deborah Lark, Portland Hospital Service Corp., Portland, Ore.
Education Officer Rocco Romeo, Ottawa Regional Hospital Linen Service Inc., Ottawa, Ontario
Treasurer Paul Seigel, Kingston Regional Hospital Laundry Inc., Kingston, Ontario
Past President John Sealey, London Hospital Linen Services, London, Ontario
Past President Chas P. Olin, Virginia Hospital Laundry Inc., Richmond, Va.

The IAHTM Board of Directors includes three members from the United States and three from Canada. U.S. directors are Myles Noel, COMTEX, Columbus, Ohio; Mark Smoyer, Shared Hospital Services, Portsmouth, Va.; and Duane Houvener, Michigan Shared Hospital Services, Grand Rapid, Mich.

Canadian directors are Janice Desautels, WRHA, Winnipeg, Manitoba; Colin Lyon, Mohawk Shared Services Inc., Hamilton, Ontario; and Stephen Marois, Alberta Health Services, Red Deer, Alberta. Nancy Jenkins is executive director, based in Shawnee Mission, Kan.

IAHTM is composed of CEOs who run laundry cooperatives. The group is a buying cooperative and hosts two education meetings a year: a Spring Education Conference that provides training for staff and an Annual Membership Conference that provides education for members, as well as networking. Banff Springs Resort in Alberta, Canada, will host IAHTM’s next Annual Meeting in August.

For more information, contact Nancy Jenkins, nancy@iahtm.com, or visit the association’s website, www.iahtm.com.

December 10, 2012

Workers United/SEIU Laundry Workers Ratify Master Contract

NEW YORK — The industrial laundry workers covered wash linen for New York’s hotels, hospitals and restaurants

NEW YORK — Industrial laundry workers who wash linen for New York’s hotels, hospitals and restaurants recently voted to ratify a new master contract among 14 laundries in the New York metro area, reports the Laundry, Distribution and Food Service Joint Board, Workers United/Service Employees International Union (SEIU).

The contract includes significant wage gains for laundry workers, a majority of whom are African-American women and Latina immigrants, and will also grant them continued free employer-paid individual medical, dental and vision insurance and a pension, the union says. Laundry workers will be part of one multi-employer contract, which sets the standards for a majority of laundries in the New York metro area.

Wilfredo Larancuent, regional manager of the Laundry, Distribution and Food Service Joint Board, Workers United/SEIU, says he’s proud of what the group has accomplished. “This contract makes real improvements for laundry workers and their families and continues to raise standards for the industry.”

Elected worker representatives from the laundries bargained the contract with employer representatives for more than a month, the group says. A strike vote was held at the laundries, but the contract was settled prior to the strike deadline.

December 5, 2012

Laundry Labor Union Elects Taylor President

NEW YORK — Known for leading union's largest affiliate, Local 226 in Las Vegas, also called the Culinary Workers’ Union

NEW YORK — The governing body of UNITE HERE recently elected D. Taylor as president. John Wilhelm, who had served as president since 2009, retired at the Nov. 29 meeting of the union’s General Executive Board.

UNITE HERE represents workers throughout the United States and Canada who work in the hotel, gaming, food service, manufacturing, textile, distribution, laundry, and airport industries.

Taylor leads UNITE HERE’s largest affiliate, Local 226 in Las Vegas (also called the Culinary Workers’ Union). Representing 60,000 workers, Local 226 is widely recognized for leading the transformation of hospitality jobs from low-wage, insecure work to stable, middle-class occupations, UNITE HERE says.

Taylor served as Local 226’s staff director from 1990 to 2002 and secretary-treasurer since 2002, and as general vice president of UNITE HERE since 2009.

Upon his election as president, he pledged to develop leadership among young people and people of color, and to expand the success of the union in Las Vegas to hospitality workers elsewhere.

“This is a tremendous honor, and a huge challenge,” Taylor says. “Our job is to fundamentally change the fate of workers in our industries. I’m optimistic that we can do that, but it’s going to require taking some real risks.”

Wilhelm was previously president of UNITE HERE’s Hospitality Division, and before that was president of HERE, one of the two unions that formed UNITE HERE in 2004.

“I am grateful beyond measure for the privilege of serving as this union’s president,” says Wilhelm. “We are blessed with terrific leadership, and it’s time for a new generation to lead us into the future.”

November 20, 2012

NRA Show 2013: The International Foodservice Marketplace

For nearly a century, the NRA Show has brought together the best and brightest in the restaurant, foodservice and hospitality industry for four days of discovery, sourcing, networking and entertainment. Produced by the National Restaurant Association, the NRA Show draws 58,000+ industry professionals from all 50 states and 100+ countries to Chicago each May—all seeking or showcasing the newest innovations and up-to-the-minute information about trends and issues.

To learn more about this event scheduled for May 18-21, 2013, at Chicago's McCormick Place, visit the show's website.

November 6, 2012

NAUMD Annual Convention

The North-American Association of Uniform Manufacturers & Distributors (NAUMD) will host its Annual Convention on April 4-7, 2013, at The Renaissance Orlando at Sea World. The theme will be "Innovation in Action."

To learn more about this event, visit the NAUMD website here.

October 24, 2012

UniFirst Garment Disinfection Service Passes Lab Scrutiny

WILMINGTON, Mass. — Laundering process destroys pathogens known to cause foodborne illnesses

WILMINGTON, Mass. — Scientific testing by an independent laboratory has proven that UniFirst Corp.’s specialized laundering process used to disinfect and protect food industry garments destroys pathogens known to cause nearly 90 million cases of foodborne illnesses in the U.S. and Canada each year, UniFirst reports.

The UniSafe Service and Product Protection Process (PPP), offered through the company’s managed uniform rental programs, is a specialized hygienic laundering and handling service specifically designed to eliminate contamination threats on garments worn by employees within food-related businesses, whether they are found in manufacturing, processing, distribution, or retail.

Scientists at Environmental Monitoring Associates of Nashua, N.H., an independent laboratory services company, tested the process. Lab results measured reductions of the most common classes of pathogens on employee work apparel, including bacteria, yeasts, and molds—all recognized as sources of dangerous contamination in the consumer food supply chain.

“We’re obviously pleased that our UniFirst UniSafe Service passed all microbial tests with flying colors, effectively reducing microbiological contamination to levels approaching sterility, killing more than 99.9999% of pathogens,” says Adam Soreff, director of marketing and communications for UniFirst. “This is great news for our many food industry customers concerned with food product safety throughout all aspects of the supply chain, right down to the uniforms and the garment processing they receive.”

October 11, 2012

Survey: 62% of Institutional/Industrial Launderers Favor Romney Over Obama for President

CHICAGO — State of economy most influential issue in helping respondents decide how to vote

CHICAGO — If U.S. voters side with the majority of institutional and industrial laundry managers and administrators who responded to October's AmericanLaundryNews.com Wire survey, Mitt Romney will be elected the 45th president of the United States next month.

Roughly 62% of Wire subscribers (which include personnel from institutional/OPL, cooperative, commercial and industrial laundries) polled in the anonymous, unscientific survey say they are supporting the Republican ticket of Romney and running mate Paul Ryan. Roughly 15% are supporting Democratic incumbents Barack Obama and Joe Biden, and 23.1% are not sure at this time. No one who took the survey said they would not be voting for president, or that they are supporting a third-party or write-in candidate.

The state of the economy will be most influential in helping 50% of respondents decide how to cast their vote next month. (Respondents were asked to pick one issue from a list of 19, including “other.”) Next is debt management (selected by 23.1%) and “other” (chosen by 7.7%; most said they would be influenced by multiple issues). Equal shares of 3.8% see the environment/global warming, foreign policy, healthcare, party affiliation, or taxes as the issue that will most influence their decision.

No matter who is elected next month, they will have a lot of work to do. Regardless of who's elected, what is the one issue that you think the administration must address immediately?

Among respondents, their answers most often related to the economy, government spending and job creation. Some examples:

“Balance budget without increasing or adding any new taxes. Stop all this government spending. Middle-class people can't afford it.”
“Jobs. The American people have been very patient with the administration for the past four years, but it is time that people get out there and make some money. People need to get their homes back, and big businesses need to play a part in all this. The banks should be forced to return the money given to them by the feds.”
“Putting people back to work. Reduce the welfare rolls. Try something like the old WPA that worked during the Depression, and stop all this crap from China. Force American-made first by having companies have to manufacture at least 30% of their products here instead of abroad. No tax breaks for companies that send jobs overseas.”
“The economy. If more people are back to work, that will generate more revenue for the government. However, the government needs to cut spending and create a budget.”
“The economy is the most important issue. If not addressed, we, as a nation, are doomed.”

While the Wire survey presents a snapshot of readers’ viewpoints at a particular moment, it should not be considered scientific.

Subscribers to Wire e-mails—distributed twice weekly—are invited to take the industry survey anonymously online each month. All managers and administrators of institutional/OPL, cooperative, commercial and industrial laundries are encouraged to participate, as a greater number of responses will help to better define operator opinions and industry trends.

August 30, 2012

Alliance Laundry Holdings Reports Record Second-Quarter Performance

RIPON, Wis. — Second-quarter net revenues jump 9.4% compared to same period in 2011

RIPON, Wis. — Net revenues for Alliance Laundry Holdings LLC, the parent company of Alliance Laundry Systems, were $128.9 million for the quarter ended June 30, a 9.4% increase from second-quarter 2011.

Second-quarter net income was $6.0 million, compared to $5.8 million for second-quarter 2011, a 4.5% increase. Adjusted EBITDA was $24.4 million compared to $21.5 million the previous year.

The overall net-revenue increase of $11.0 million was attributable to revenue increases in the United States and Canada ($8.5 million), Asia ($2.9 million), Latin America ($0.9 million) and the Middle East and Africa ($0.6 million). These increases were partially offset by a decline in Europe revenues of $1.9 million.

The overall net-income increase of $0.2 million for the second quarter was primarily attributable to improved operating income of $2.1 million, a decrease in interest expense of $3.8 million and a decrease in provision for income taxes of $0.6 million. Early extinguishment of $6.2 million in debt partially offset the gains.

Net revenues for the six months ended June 30 increased $24.0 million, or 10.8%, to $246.1 million compared to the first half of 2011. Net income for the period increased 9.3%, to $11.5 million.

“We are pleased to report a record quarter driven by strong organic growth in North America, Latin America, and Middle East and Asia,” says CEO and President Michael Schoeb. “Our diverse operations delivered record revenues and EBITDA despite continued headwinds in Europe, the negative impact of foreign currency, and higher raw material and distribution costs.”

Second-quarter results continue to demonstrate Alliance’s progress in executing strategies with an intensified effort on new product development, according to Schoeb.

Alliance recently completed a refinancing of its senior credit facilities, which dramatically reduces interest expense over the term of the new agreement. “This new credit agreement improves our financial position and provides the flexibility to invest in additional capacity and innovative new products, which positions the business for long-term growth,” Schoeb says.

Alliance Laundry Systems designs, manufactures and markets commercial laundry equipment under the brand names of Speed Queen, UniMac, Huebsch, IPSO and Cissell.

August 14, 2012

Pellerin Milnor Continous Batch Washer (CBW®) Systems Service Seminar

Pellerin Milnor Corp. will host a Continuous Batch Washing (CBW®) Service Seminar on Oct. 22-26 at the Crowne Plaza, New Orleans Airport. Common topics during the event will include CBW washing principles, extraction systems, shuttle devices, how to read Milnor schematics, and an overview of mechanical devices in CBW systems.

The seminar will focus on the newest style of PC-based controls, including the CBW Mentor, Multitrac System Controller, Drynet, and Dryer Shuttle Controller.

To learn more about the event, or to register, contact Diane Schnauder (see below for details).

August 14, 2012

Pellerin Milnor Washer-Extractors Service School

Pellerin Milnor Corp. will host a Washer-Extractor Service School on Oct. 2-5 at the Crowne Plaza, New Orleans Airport. The seminar is condensed into four days, with courses covering a broad range of Milnor washer-extractors. Courses are designed to train personnel in the rapid and accurate diagnosis and repair of field problems. Also, attendees will gain an overall understanding of how the equipment operates.

These seminars address washer-extractors ranging in capacity from 20 pounds to 500 pounds, including divided-cylinders and open-pocket designs with microprocessor controls.

To learn more about the event, or to register, contact Diane Schnauder (see below for details).

August 9, 2012

Cintas Offers Top Tips for Ensuring Eye Safety

CINCINNATI — More than 1,000 eye injuries occur in U.S. workplaces every day: OSHA

CINCINNATI — According to the Occupational Safety and Health Administration (OSHA), more than 1,000 eye injuries occur in U.S. workplaces every day.

“Oftentimes, eye injuries can be prevented, or in many cases minimized,” says Nancy Petersen, senior marketing manager, First Aid & Safety, Cintas. “Understanding the causes of these injuries and ways to reduce their occurrence and impact will benefit both workers and businesses.”

Cintas offers these tips for promoting eye safety:

IDENTIFY WORKPLACE HAZARDS

Eye injuries can be caused by many different hazards, including chemical exposure or contact with work equipment. Conduct a safety walk-through to locate areas and tasks that pose as risks to workers.

SELECT APPROPRIATE EYEWEAR

Eyewear must protect against the specific hazards employees will encounter and be properly fitted to the individual. Since different styles have varying levels of comfort and must help protect certain eye dangers, purchase multiple types of eyewear, including prescription lenses for workers who require them.

PROVIDE REGULAR TRAINING

Use training as an opportunity to highlight eye injury statistics and workplace hazards, demonstrate how and when to wear eye protection, and how to properly care for eyewear. Training should also provide guidelines for proper emergency response in the event that an eye injury occurs.

DISCARD INEFFECTIVE EYEWEAR

Replace eyewear that scratches easily, is not anti-glare, fits poorly or is uncomfortable for employees. Additionally, set up a schedule for inspecting eyewear for cracks or loose frames and throw away damaged PPE.

PROMOTE PPE COMPLIANCE THROUGH VISUAL REMINDERS

Place posters and signs near machinery, chemicals and in common areas such as break rooms. Make sure text is supplemented with pictures to warn employees whose first language may not be English.

PROVIDE EMERGENCY TREATMENT OPTIONS

Eyewash stations should be placed within 10 seconds of eye hazards. Clean equipment every few months or more often if necessary to maintain water and solution levels. Keep eye drops, eyewash and gauze stocked in first aid cabinets that are easily accessible.

August 1, 2012

IAHTM Annual Member Meeting and Education Conference

The IAHTM 2012 Annual Member Meeting and Education Conference (International Association for Healthcare Textile Management) is set for Sept. 8-13 in Indianapolis at the historic Omni Hotel. Education Partners and Conference Sponsors are invited to join in events the evening of Sept. 10 and all day on Sept. 11. Keynote speaker Dr. Janet Lapp will offer strategies on managing change for personal success and organizational efficiencies. Membership in IAHTM is by invitation only. www.iahtm.com

July 23, 2012

Drought Monitor Keeping Close Eye as Records Fall

LINCOLN, Neb. — July 5 report: 47% of U.S. land area in various stages of drought

LINCOLN, Neb. — More of the United States is in moderate drought or worse than at any other time in the 12-year history of the U.S. Drought Monitor, according to officials from the National Drought Mitigation Center at the University of Nebraska-Lincoln.

According to a report released July 5, 46.84% of the nation’s land area was in various stages of drought, up from 42.8% a week earlier. Previous records were 45.87% in drought on Aug. 26, 2003, and 45.64% on Sept. 10, 2002.

When studying only the 48 contiguous states, the drought percentage is even higher—55.96%, also a record.

“The recent heat and dryness is catching up with us on a national scale,” explains Michael J. Hayes, the center’s director. “Now, we have a larger section of the country in these lesser categories of drought than we’ve previously experienced in the history of the Drought Monitor.”

The monitor uses a ranking system that ranges from “abnormal dryness” to “exceptional drought.” Damage to crops and pastures, as well as streams, reservoirs or wells getting low, are telltale signs of moderate drought. Exceptional drought includes widespread crop and pasture losses, as well as shortages of water in reservoirs, streams and wells, creating water emergencies.

So far, just 8.64% of the country is in either extreme or exceptional drought, but it’s early in the season and the situation bears watching. “During 2002 and 2003, there were several very significant droughts taking place that had a much greater area coverage of the more severe and extreme drought categories,” Hayes says. “Right now, we are seeing pockets of more severe drought, but it is spread out over different parts of the country.

To examine the Monitor’s drought maps and conditions, visit droughtmonitor.unl.edu.

June 25, 2012

Chicago Dryer Co. Service Seminar

Western State Design will host a two-day Chicago Dryer Co. Service Seminar on Sept. 13-14. Topics will include preventative maintenance, proper operation of Chicago® equipment, troubleshooting, and sequence of operation. There will be a hands-on question-and-answer period with factory service representatives, and Chicago® will be serving lunch. Contact Western State Design to RSVP (space is limited).

June 25, 2012

Chicago Dryer Co. Service Seminar

Western State Design will host a two-day Chicago Dryer Co. Service Seminar on Sept. 17-18. Topics will include preventative maintenance, proper operation of Chicago® equipment, troubleshooting, and sequence of operation. There will be a hands-on question-and-answer period with factory service representatives, and Chicago® will be serving lunch. Contact Western State Design to RSVP (space is limited).

May 11, 2012

Wisconsin Association of Textile Services Fall Conference

This two-day event at the newly renenovated Lake Lodge Resort on Lake Delavan features two days of golf for industry suppliers and commercial laundry owners and managers, business sessions, and a Product Showcase by suppliers to introduce new services and products to commercial laundry decision makers. Business networking with in a unique social environment. Special guest speakers.