Hidden Charges for Adding New Employees to a Uniform Rental Program

When a company welcomes a new employee who is required to wear arc-rated flame resistant (AR / FR) clothing to stay safe on the job, you would think the process to get that employee added to the clothing program is straightforward. Not so in a uniform rental with industrial laundry (“rental”) program. Instead, the company is charged numerous set-up fees and the new hire typically doesn’t receive the clothing they need to stay safe in a timely fashion or in the condition you’d expect.

Companies’ Fees Add Up!

As soon as a new employee is added to the program, rental charges for that employee show up on the following week’s invoice. This can be frustrating because more often than not, the employee hasn’t received the clothing the following week, so the company is paying for something they don’t have. Unless the customer disputes the charges, they are rarely credited off. On top of that, there are several setup charges associated with adding the employee to the program. Companies are paying the following setup charges in addition to the regular weekly rental for 11 sets:

  • $1-2 for prep or make-up charge
  • $1-2 for a name tag
  • $2-5 for a logo

These charges may seem small, but altogether with the rental charges, companies are easily spending $120 for setup. Plus, if the employee leaves after 3 months, the company could have spent over $500 between setup charges, 3 months’ worth of rental charges at $10 per week, plus loss and damage charges on the backend (due to employees not returning garments or returning what the uniform rental considers “damaged” products). In contrast, employees could receive 5 shirts and 5 pants – all brand new – in a direct purchase program for the same amount.

Employees are Frustrated

The process is equally frustrating for the employee – they’re not receiving the garments they need to safely do their job and when they do receive them, most of the time all or a portion of their sets are issued used.

  • Rental companies maximize their profits by re-issuing garments.
  • Whether the garments are noticeably used or gently used, it sends the newly hired employee the wrong message right off the bat – that they’re not worth new clothing.
  • Oftentimes, the new hire will receive their garments (after waiting a week or more) and find that they don’t fit appropriately or they’re just not what they expected.

This means the employee doesn’t have what they need and all the while, the company is still paying the rental fee for garments they don’t have.

We discuss this more in the blog and video below, featuring an interview with Chad Barker, Tyndale’s Regional Sales Director, who spent over a decade working for two of the largest uniform rental with industrial laundry providers.

The bottom line is the company is paying over $100 just to get an employee set up, then they have to wait for the garments to arrive, while paying normal rental costs for garments they don’t have yet. And, the new employee is not getting started on the best foot. They’re typically issued used garments, experience delays, and are met with more issues if they aren’t comfortable with the garments they receive. And, if the employee leaves shortly after being hired – the company is faced with even more charges – up to $500 total to no avail. A process that should be positive and relatively straightforward becomes a costly hassle for the company and employee.

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