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Economic & Policy Outlook 2026: What Dry Cleaners Should Expect Next

5 Nov 2025 1:06 PM | Dawn Hargrove-Avery (Administrator)

Economic & Policy Outlook 2026: What Dry Cleaners Should Expect Next

Presented by: Alex Chausovsky, Bundy Group
Shared by: Lizzie Ward, TCATA
Published by: National Cleaners Association (NCA)

Overview

Special thanks to Lizzie Ward from TCATA for sharing this timely economic update with the National Cleaners Association. In this insightful webinar, Alex Chausovsky of the Bundy Group breaks down where the U.S. economy is headed and what small businesses — especially dry cleaners — can do to stay resilient in the months ahead.

You can listen to the full presentation or a condensed briefing on NCA’s Webinar Platform here:
Listen to the Economic & Policy Update Webinar

Top Highlights for Dry Cleaners

1. Inflation and Interest Rates Are Easing, but Not Gone

Inflation is stabilizing between 3–5%, and the Federal Reserve is expected to lower rates gradually through 2026

Economic & Policy Update - TCAT…

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For dry cleaners, this means continued caution around price increases — but also an opportunity to refinance debt or invest in energy-efficient upgrades before financing costs rise again.

2. Tariffs and Trade Will Continue to Shape Supply Costs

Chausovsky highlighted how tariffs are now being used as geopolitical negotiation tools across critical materials like steel, aluminum, and chemicals

That matters for dry cleaners who depend on imported equipment, packaging, hangers, or solvents.

Pro Tip: Review your supplier contracts and stock up on key materials before tariff-related increases hit in 2026.

3. Small Business Optimism Is Climbing Again

The Conference Board’s CEO Confidence Index shows business optimism rebounding in late 2025 after a volatile two years

This suggests consumer confidence — and service spending — could strengthen next year, particularly in local, convenience-based businesses like garment care.

Takeaway: Consider revisiting your pricing strategy or pickup and delivery promotions ahead of spring 2026.

4. The Labor Market Is Still Tight

National unemployment stands at 4.3%, with steady wage growth of 3.7% over the past year

But the issue isn’t a lack of workers — it’s a skills mismatch. The biggest shortages are in installation, maintenance, and repair roles — all of which affect plant operations in the dry cleaning industry.

Recommendation:
Keep training front and center. NCA’s Career Pathways Initiative can help members reframe garment care jobs as skilled trade positions with upward mobility.

5. Demographics and Workforce Changes Are Real

By 2030, the U.S. will lose more working-age adults than it gains — unless immigration or re-skilling efforts expand

That’s why investing in automation, training, and culture-building will matter more than ever for independent cleaners.

Key move for owners:
Create retention pathways — from presser to manager to partner — to stabilize your workforce and preserve institutional knowledge.

6. Strategy, Not Speed, Wins the Year

Chausovsky emphasized that businesses should make decisions based on data, not headlines

He advised operators to:

  • Track tariffs, energy, and shipping costs monthly.

  • Build pricing models that protect margins.

  • Communicate proactively up and down the supply chain.

  • Prepare multiple action plans for potential policy shifts in 2026.

Why This Matters for NCA Members

Economic conditions are shifting — but opportunity still exists for operators who plan, adapt, and lead with data.
From pricing adjustments to workforce stability, this webinar provides the insights to help dry cleaners stay competitive and confident in 2026.

You can stream it anytime here:
Economic & Policy Update with Alex Chausovsky

Credits

Content shared courtesy of Lizzie Ward, TCATA, and Alex Chausovsky, Bundy Group.


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