|Posted on November 5, 2019 at 9:15 AM|
Your compensation system needs to match performance to income, especially at the high end. We should not lose our top performers to a higher "percentage".
It costs over $ 6000.00 in time, expenses, and training to bring new employees on board and get them productive. This does not allow for lost sales!
We need to set up a compensation system that helps us to keep our top operators.
Most salon/spa compensation systems do not reward the top achievers in the salon while making the employees that are at break even (or less) works harder to receive the same benefits that the top performers receive.
Who are your TOP performers?Running the Ranking Report for the Year will show who is leading the pack. The Management Summary helps you see performance using specific benchmarks.
Do you have this challenge?
Some of your operators may have begun to realize that they can make a comfortable living by showing up 25 hours a week and being booked solid during that time. The problem with this is that, while they are good revenue producers, they:
1.) take up "prime time" (Red) hours with their regular customers so that new customers cannot get in and new operators cannot build.
2.) are in the salon/spa doing customers with a full book and they cannot help with any salon/spa operations like folding towels, cleaning, helping at the desk.......
3.) become more independent because they are not in the salon culture often enough (they stop being part of the team)
We recommend you grandfather your present staff (continue to pay them in the agreed on way). You need to develop a compensation system for new employees that is more motivating and is based on contribution to the salon/spa's overall goals.
Hours:Any employee working less than 36 hours per week is not considered full time. Non full time staff does NOT get paid vacations, may be required to share the station, and cannot have all "prime time" hours (ex: they only get to work every other Saturday).
Any employee working less than 30 hours per week is considered part time and does NOT receive paid vacations, sick days, free business cards, exclusion from service charges, must share a station and must book all work during Green and Yellow booking times (see Booking ideas earlier in this report).
Track all employees hours on the time clock.
Order our Staff Up CD from our Web Store for complete compensation set up details or call us with ??? 513-528-5100
Categories: Staffing and Compensation Ideas