girlFriday was featured in the Wall Street Journal!
Even in the most labor-intensive industries, businesses often face a delicate balance between passing on wage costs and preserving market share. Andreea Pfeifer, owner of girlFriday, a high-end cleaning service in Chicago, started raising wages in May to retain and recruit employees as demand boomed. Squeezed margins prompted her to increase her prices in June and July.
“I have never gone back to any [long-term] client and changed their pricing. But I had to do it this year,” said Ms. Pfeifer. The overall price increase of 7% to 10% was the highest possible without sacrificing customers, she said, though not enough to offset the rise in labor costs. And despite offering wages of over $20 an hour and a $500 signing bonus, “it’s been crickets,” said Ms. Pfeifer.
Read the full article here!
Wages and Prices Are Up, but It Isn't a Spiral Yet
Mar 11, 2022 by
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