Caution: Change Ahead

A new presidential administration always brings turmoil and speculation. A lot of promises are made on the campaign trail with many never coming to fruition. It’s too early to know exactly which legislative and executive actions President Trump will make in his first few weeks and months in office, but there is potential for sweeping changes ahead. For BSCs, some of these will be beneficial while others will prove challenging.  

Let's start with the good news.  

Over the past 12 months, I've written about minimum wage/salary mandates and the push to dramatically increase overtime regulations. Although President Trump commented during his campaign that he'd support an increase in compensation as long as it doesn't hurt small businesses, economists aren't expecting this to make any traction after pushback from business owners and Republicans alike. In addition to that, last fall, a Trump-appointed federal judge overturned the Department of Labor's salary threshold and overtime rule.  

This is good news for BSCs, many of whom are operating on tight profit margins as the cost of doing business continues to rise and customers balk at price increases. Adjusting pricing to comply with a jump to a $15/hour minimum wage or $56,600/year salary could price many BSCs out of the market (although some states have increased state minimum wage). Sticking with a $7.25/hour federal minimum wage and $35,500/year salary gives BSCs flexibility and room to breathe.  

However, one area where BSCs won’t see any breathing room is staffing. Hiring and retention have been ongoing challenges for many companies, but President Trump's promised crackdown on immigration might make things even more difficult for cleaning contractors.  

Stricter immigration enforcement, including I-9 audits, E-Verify requirements, and reduced visa opportunities may impact the available workforce, creating labor shortages and increasing wage pressures. Meanwhile, businesses employing undocumented workers may face increased scrutiny, audits, and financial penalties under stricter enforcement policies. 

Uncertainty surrounding potential policies can make it difficult for small businesses to plan for future workforce needs. To get answers, BSCs should join the conversation by lobbying for more practical and balanced reforms that reflect the needs and priorities of the industry.  

To help advocate for BSCs, Building Service Contractors Association International (BSCAI) offers suggestions on how to effectively engage with Members of Congress. There's also a fly-in event in March for those interested in speaking with representatives on Capitol Hill. Watch CleanLink for updates as the event nears.