Cobo Center to save $200,000 annually by bringing janitorial services in-house

Source: Kurt Nagl, Crain’s Detroit Business, April 13, 2018

Cobo Center is on track to save around $200,000 annually on housekeeping by bringing those services in-house. The Detroit venue parted ways with The Professional Group, a janitorial services provider based in Detroit, last October and is pleased with the savings and performance of the restructured team, said Claude Molinari, general manager of Cobo. The venue’s budget for housekeeping this year is $1.75 million a year, which would mean a savings of 10 percent compared to the cost last year, Molinari said. Cobo, which is operated by the Detroit Regional Convention Facility Authority and managed by SMG, had contracted with Detroit-based ABM Janitorial Services for several years prior to The Professional Group winning the bid in 2016. The Professional Group terminated the contract after one year. … Molinari said that under the new management structure the average wage of a full-time cleaner is $13.50 plus benefits — up from an average of $11.10 plus benefits before the new arrangement. …