Showing posts with label resort economics. Show all posts
Showing posts with label resort economics. Show all posts

Sunday, March 1, 2009

Fitness and training incentives to reduce resort and staff costs associated with injuries

One of the major costs facing resorts when considering their on hill staff is the rise in workers compensation expenses associated with injuries suffered during the course of work performance.

As skiers learn to move faster, or feel pressure to pe
rform at a higher level, or even complete tasks in a more timely manner, the risk of injuries increases proportionately. With staff needing to make more money, resorts need to find a way to reduce such workers compensation costs in order to then be able to re-allocate funds towards pay for these deserving employees.

Given the concurrent improvements in training techniques, both on and off the hill, as well as the increased amount of information available regarding fitness training, diet and simila
r items, it would seem to suggest that resorts need to establish incentive based training programs to not only provide the means for their staff to stay safe and healthy, but to also use resort budgets more wisely and in a more proactive manner.

One suggestion might be to create a program whereby the employee can earn benefits of a varied nature by participating regular in fitness training programs, i.e., at local training or fitness centers, or in massage therapy and similar health based programs. Benefits can include paying for gym memberships, pay increases rewarding long periods of time at work without injury time and paying for or providing massage sessions (or at least subsidizing them).

For example, if a ski pro attends a prescribed number of fitness training sessions at the local gym for a prescribed period of time, that pro could then earn an additional pay raise.

Another example, or suggestion, might be to provide preseason and in season indoor conditioning clinics for staff to better enable them to protect themselves during the course of a fatiguing season. Such clinics could include weight training, stretching techniques, as well as clinics focused on learning how and when to identify and avoid undue risk during the course of work performance.

Surely, it is worth the money spent on such programs to lower a resorts workers compensation budget, a budget which seems to constantly grow. Allocate a portion of those funds into new ways of coping with such issues and provide a meaningful benefit to your skiing professionals. They will have an opportunity to earn more as a result and you, as a resort, are likely to then be able to gain greater control over a significant budget item. It's a win - win situation for all concerned.

Fail to do so and you are likely to see such workers compensation costs continue to grow while, at the same time your teaching professional are going to continue to demand even higher pay rates in order to cope with potential down time from injuries, as well as the increasing cost of living in resort communities. The military does it, major corporations do it; why should resorts fail to implement such preventive measures?

Your pros deserve this sort of preventive support and there is no escaping your need to control workers compensation costs; the benefit of such programs is shared by all.

Thursday, February 26, 2009

The Burden of Risk In The Teaching World and Equitable Risk Distribution

When teaching professionals hit the slopes, who bears the burden of risk? Certainly not the resorts which employ them.

As previously discussed, the only risk to the resort is when a pro is injured during the course of a lesson, or in a mandatory clinic, or perhaps in a clinic related to certification. The rest of the time, the burden falls upon the pro. If a teaching pro is hurt in any other sort of clinic, training or while free skiing for self improvement, injuries are solely the responsibility of the teaching professional.

Moreover, at some resorts, the pipe and park "pass" required to teach, or even ski in such terrain is not even covered, with resorts telling their pros that "it's up to you if you want to teach in the park."

Is that really true?

What really happens to a teaching pro who refuses such lessons?

In a best case scenario, the professional forsakes a portion of their potential income (in a declining economy). In a worst case scenario, the teaching pro is downgraded by their ski school, making them "less valuable" and possibly "expendable."

To suggest that there is no "level playing field" here would be a vast understatement.

What then is the answer? In a nutshell, an equitable distribution of the risk.

How?

Resorts need to insure their staff, provide workers compensation coverage for all time spent on snow, as well as providing a reasonable rate of show up pay so that pros have some incentive to train when work is not available.

Make the statement that you respect your teaching professionals. Such a show of respect is one avenue towards increasing ski school bookings, a large source of revenue for most winter resorts. A continued lack of respect is only likely to lead to a drop in performance and skill acquisition, promoting a further decline in revenue. Resorts, you do have a financial interest in accelerated performance; it makes money for you. In our troubled economic times, can you really afford not to look at all means of increasing revenue in ski schools?

The teaching professional puts their health on the line for you everyday; is it unreasonable for them to expect something in return?

After all, the increased financial support is still less expensive than a potential strike or a continued drop in revenue.

Be smart resorts; look at the long term implications of your current policies and make the necessary changes before you pay a price you may not expect

Tuesday, February 17, 2009

Economic Support for Professional Skiers

What would happen if every ski teaching professional in one state...say Vermont for example... decided, their pay being wholly inadequate, to say, "I quit?" Or, simply went on strike? Or, as the Aspen Pro Patrol did years ago, decided to unionize?

How would resorts handle such a problem?

The resorts already have a decidedly clear problem finding enough qualified skiers to fill those jobs as it is; would they be able to handle such a drain? And, with the recent restrictions imposed on H2B and other visas used to bring in teaching professionals from abroad, this is a problem that is only likely to get worse.

Teaching professionals, for the most part, have spent years...some decades... honing their craft. From the many hours of working on their own skiing to the inevitable time spent in clinics, to the countless hours working with beginners in the hope that they would someday advance their skills and be able to then teach more accomplished skiers, these professionals have fully committed themselves.

Typically, it takes a ski instructor a minimum of five years to attain a level III teaching accreditation, during which time, the hours spent on their own, studying and improving their skills, asking questions of othersand working with students amount to the equivalent of perhaps a post graduate degree in the sport. It certainly equals an undergraduate degree in the field, with a particularly strong emphasis on practical experience, something no college graduate has at the time they leave their school. Moreover, these instructors are then expected to continue their education with mandatory continuing education clinics.

Further, the resorts for which they teach expect all that any employer expects; timeliness, a professional appearance at all times, a growing base of knowledge, the ability to communicate with clients and more.

Yet, how do these same resorts treat such professionals? Not well in many cases.

What do these professionals receive in the way of compensation? In some bigger western resorts, compensation is more than adequate, with hourly wages, in some cases, exceeding $20.00 per hour. Unfortunately, those who receive such compensation are the elite of the teaching world. Typically, a western pay rate is significantly less and give the exceptionally high cost of living in western resorts towns, such professionals must find a second job at night simply to make it through the season unless they are blessed with a long list of clients who tip exceptionally well.

In the world of Eastern resorts, it is a completely different scenario and culture. Here, instructors are lucky if they make $15.00 per hour hour, with tips that don't come close to matching those out west. If an eastern instructor makes $500 a week, they are extremely lucky.

Moreover, instructors only get paid for the time they are actually teaching. A blank during the daily schedule is just that, a blank...no revenue and perhaps only a modicum of "show up pay."

Do the Eastern resorts charge lesson for their lesson products? Hardly.

Is the work easier? No.

Do any resorts provide seasonal health coverage free of charge? No.

Yet, who is it that often provides a guest's primary impression of any resort? The teaching professional. Anyone see a problem here? Anyone wonder why resorts have problems retaining staff or why such teaching professionals feel no qualms about relocating should a better position become available?

And let's not forget the seasonal nature of the work. However accomplished and talented a teaching professional may be, they still must find a second job during the so called "off season" in order to simply survive economically. How may resorts make an effort to find off season positions for their teaching staff? Very few.

There is a certain shortsightedness in the outlook of the resorts; the industry as a whole is going through some rough times, with very few able to maintain their historical number of skier/rider visits each season. True, the economy as a whole is not in good shape, but the resort issues significantly pre-date the downturn in the global economy.

Consistent performance is what resorts expect from their teaching professionals, but that is a one way street, as the professionals certainly cannot expect the same from the resorts.

Quite simply, resorts need to find more diversified ways of maintaining their income levels and use some of their revenues to assure teaching professionals that they are indeed valued. Provide teaching professionals with a quality wage that reflects all the time and effort it has taken to become a polished instructor. Provide them with health care that covers them when they are on their own time working on their skills. Relying on workers compensation for injuries suffered during the course of their work is simply not enough for those who risk grave bodily injuries in order to simply be better at what they do. There is a certain lack of incentive to spend one's own time improving, given the physical risks involved.

These professionals deserve more respect and better compensation; they have earned it year after year.

Beware resorts; you are creating a growing problem which, some day, is going to bite you when you least expect it. Think of what it will cost you then. Think about your clients and what they will say. Have respect for the product you put on the snow and look to the long term opportunities that come from having a staff that is excited about working for you.

I recently read where a prominent eastern resort was sold for $82 million in cash, with an additional $50 million being due on a 40 year note. Please don't claim that you cannot afford to pay your teaching professionals appropriately or that you cannot afford to provide health care coverage. The facts say otherwise.

Think resorts, THINK. It won't hurt to do so.