Saving in On-Premise Laundries
The True Cost
of On-Premise
Laundries
Understanding the true cost of operating your own laundry versus outsourcing to Westport.
Many healthcare facilities underestimate the total cost of operating an on-premise laundry (OPL). When analyzing whether to outsource, facilities must consider all cost categories to make an informed decision.
Nine Major Cost Categories
Understanding the True Drivers Behind
Your Linen Service Costs
Laundry Production Payroll
Payroll costs for wages paid to hourly employees who handle linen, including laundry production, soiled sort, washroom, flatwork, ironing, tumble dry operation, and folding staff.
Management Payroll
Employees who handle linen inspection, linen control, janitorial services, and internal linen distribution.
Employee Benefits
Includes payment of social security, workers compensation, holidays, vacation time, state unemployment, health insurance, union contributions, and retirement benefits.
Laundry Chemicals
Westport Linen provides all detergents, alkalis, bleach, sour, fabric softener, bacteriostatic agents, starch, and other necessary chemicals.
Maintenance & Repair Costs
Includes all machine repair parts, lubricants, drive belts, iron pads and covers, tools, boiler treatment, and water softener salt.
Utilities
Gas, electricity, fuel oil, and water account for a large part of expenses.
Taxes & Permits
Taxes, licenses, and operating permits paid by the facility and allocated to laundry operations.
Equipment Costs
Equipment will experience wear every time it is operated, making consideration of replacement costs necessary.
Insurance & Business Costs
Rising insurance costs make on-site laundry riskier and more expensive. Eliminating it reduces exposure and lowers rates.
Additional Hidden Costs
Beyond the obvious operational expenses, on-site laundry can create impacts that are not immediately apparent, adding layers of cost that often go unnoticed until fully evaluated.
Capital Tied Up in Inventory
Maintaining sufficient linen inventory requires significant capital investment that could be deployed elsewhere.
Valuable Square Footage
Facilities often overlook the cost of space used for laundry, which could instead support revenue-generating clinical services or patient care.
Management Time and Focus
Leadership time spent managing laundry operations diverts attention from core healthcare missions and patient care priorities.
The Westport Advantage
Outsourcing to Westport covers all nine cost categories and hidden costs.
- Predictable monthly pricing with no surprise expenses
- Elimination of capital equipment investments
- Freedom from staffing challenges and turnover
- Professional quality control and testing
- Regulatory compliance expertise
- Space available for better uses
- Focus on your core healthcare mission
