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Sodexo: Detroit school district's debt exceeds $18M

May 15, 2014

DETROIT — Sodexo said it intends to stop performing work for Detroit Public Schools (DPS) because they are owed more than $18 million, according to the Detroit Free Press.

However, the district claims that the company has "failed to live up to the terms of its contract and has not kept the schools clean," the article stated.

According to the article, in a required federal layoff notice it filed with the Michigan Workforce Development Agency, Sodexo indicated that more than 400 workers, including 359 custodians, would be affected.

Meanwhile, the district intends to terminate Sodexo’s contract if certain "performance deficiencies" are not rectified in 30 days, the article noted.

DPS spokeswoman Michelle Zdrodowski "cited the company’s failure to adequately maintain clean and sanitary schools and an ongoing failure to hire licensed and qualified personnel which has resulted in not only lost school days, but also significant and costly damage to equipment," the article added.

Click here to read the article in its entirety.