How do you handle rising vendor costs without increasing maintenance charges?

Finance & Compliance
1

We’re seeing a steady rise in costs from our housekeeping and security vendors, especially after the latest wage revisions. But residents are already sensitive to any increase in maintenance charges.

How is your community managing this balance?

  • Have you renegotiated contracts or switched vendors?
  • Are you cutting back on certain services?
  • Have you found any creative ways to optimize costs without compromising quality?

Would love to hear what’s worked (or not worked) for you!

2

We’ve been facing the same challenge in our community. After the recent wage revision, vendor costs jumped by nearly 15%, especially for security services.

Here’s how we’ve approached it:

1. Renegotiation & Bundling:
We renegotiated contracts by bundling housekeeping and security under one facility management vendor. It gave us slightly better rates and streamlined escalation paths.

2. Transparent Communication with Residents:
We held a townhall to explain the reasons behind rising costs, backed with actual numbers. When residents saw that minimum wages had increased and that we’d done our due diligence on alternatives, there was much more understanding—even some appreciation!

3. Cost Optimisation:
We staggered services—for example, deep cleaning once a week instead of twice. Also looked at energy-saving measures (motion sensor lights in common areas) to offset rising manpower costs.