Pulse July 2021 | Page 31

much . Like Gadabout SalonSpas , you might try simplifying your structure and raising the commission rate to encourage what Jasper calls an “ intrapreneurial mindset .” Or , like WTS , you might try a structure that places greater emphasis on commission and less on an hourly wage . However , the key is to remain flexible depending on your market . WTS International has tailored recent pilot programs for signon bonuses , referral bonuses and more to specific regions , says Biehl .

Hawaii serves as a useful microcosm for a localized approach to compensation changes , according to Shawn Hallum , regional director of Freedom Spas LLC , because “ each island brings its own opportunities and challenges .” Freedom Spas operates ten locations across the state and has altered compensation differently at different spas . At one location , Freedom Spas has “ implemented a wage plus commission structure ,” while Hallum says that most locations now compensate service providers through a feeper-service based on treatment time , rather than service type . The previous structure based on service type “ worked quite well with predictable business volume ,” but didn ’ t mesh well with the realities of the pandemic .

Legislation in Hawaii — the Hawaii Prepaid Healthcare Act — already requires employers to provide health

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insurance to any employee working at least 20 hours per week . Freedom Spas has moved beyond this and now offers health benefits to service providers working 15 hours per week ; the hope is that this will make job offers “ compelling and meaningful ,” Hallum notes .

— MICHAEL TOMPKINS , Partner , Hutchinson Consulting

Tompkins would agree with this decision .“ With the shortages that are out there ,” says Tompkins ,“ it is time for resorts , hotels and spas to make health insurance available to parttime service providers — specifically massage therapists and estheticians — working over sixteen hours .”

Rolling out substantive changes to compensation and benefits will likely look different for every spa . It might take the form of increased commission on services or retail or a more robust hourly rate , which Hallum advocates for . It could also mean providing more benefits to part-time staff , offering bonuses to staff who work high-demand hours , or providing financial support for licensure , an idea espoused by Biehl . There are limitless ways to tweak compensation in our industry , but two concepts are essential . First , tailor everything to your local market . Second , treat your business like it ’ s a first-year business , because there ’ s never been a better time to rethink how you approach the fundamental opportunities and challenges of operating a spa . In other words , the pandemic has provided an unheard-of-opportunity to overhaul how your spa compensates its employees , says Jasper : “ We were able to make the changes that we never would have been able to make if we hadn ’ t had this time in our lives .” n