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How to Retain Long-Term Salon & Spa Employees

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I had two back-to-back coaching calls with two salon/spa leaders where the focus was on a long-term service provider.


  • Call number one was on creating new opportunities for an extremely busy stylist.

  • Call number two was on how to end the relationship.


Losing a highly productive long-term service provider is disruptive and costly. Although the two scenarios in my coaching calls were quite different, both offered up some vital lessons for all owners and managers.

Scenario One: New opportunity for busy stylist

On call number one, the general manager and stylist were on the call. The stylist has been with the salon/spa since opening almost ten years ago. She is on Team-Based Pay at a premium hourly rate with an always-full appointment book.

It was a wonderful coaching call because it wasn’t about how to drive more revenue through the stylist’s two hands. It was about carving out a few hours a week for the stylist to contribute to the company in other ways, such as training and mentoring new talent.

  • KEY POINT: The stylist will continue to be paid the same premium rate for training and mentoring, as she would receive for servicing clients.


What I loved about the conversation was that it was about creating new career opportunities by utilizing the stylist’s years of experience while creating a more fulfilling career experience.

Scenario Two: Ending a long-term relationship

On call number two, the owner was looking for guidance on how to handle the stylist’s departure financially, culturally and ethically.

Leading up to the owner’s decision to end the relationship was the stylist’s growing negativity and attitude and how it was affecting the culture.

Next came the owner’s concern over the loss of $200,000 in service revenue when the stylist leaves. Being on Team-Based Pay, this was easy to address.

  1. The stylist had a very long commute and would be finding work closer to home — not down the street.

  2. The salon has the opportunity to retain a significant percentage of the clients.

  3. The stylist’s high hourly rate will go away — instantly lowering service payroll.

  4. The overall productivity rate of the salon will increase.


These four points indicate a much-improved cash flow, as long as the salon effectively retains a respectable percentage of the stylist’s clients.

Culturally, a source of negativity will leave the salon, as is so often the case in such situations.

The big question is always, how much notice to give the employee. The big answer is always, “It depends.” If the negativity and attitude are intolerable, end it quickly. If there is agreement on behavior and transition of clients, a week or two is fine.

The Big Lessons

Lesson One: Long-term employees are special and valuable to a salon/spa’s performance and brand.

More importantly, long-term employees are NOT “maintenance free.” It is so easy for owners to get wrapped up in the development of new talent and other business issues that the needs of long-term employees can be overlooked.

Just because “they’re always busy” doesn’t mean thoughts of career advancement, work fulfillment and the most basic need to be appreciated don’t exist.

It’s not just about doing performance reviews. It’s about paying attention to those that demonstrate their loyalty, hard work and talent every day to all team members and all clients.

FACT: Long-term employees represent and protect the integrity of your service excellence and brand.

Lesson Two: How did a long-term employee’s relationship deteriorate?

I must repeat that long-term employees are not maintenance free. They won’t just keep cranking out tons of services and be content just because “they’re busy” and earning top incomes.

Salon/spa owners need to understand their long-term employee’s career goals and aspirations. Like in Scenario One above, they need to open the door to new challenges and opportunities.

Most of all, owners need to keep long-term employees engaged in, and contributing to, the growth of the company beyond what they can generate with their hands.

Mentoring and training new talent is how talented long-term employees help to create service excellence and continued growth.

Yes, lives and situations evolve and change.

Yes, long-term employees may have career goals that are beyond the scope of your company to deliver — and may leave to pursue them.

Yes, you can do it all right and still lose a valued senior employee.

The key is knowing that, as the leader, you did your best to create opportunities and show your appreciation.

Here’s my challenge to you: Take these two scenarios and compare each to your salon/spa’s current reality. If any of the dots connect, you’ve got some leadership work to do.

Sometimes it’s as easy as having a private conversation with a long-term employee to ask what you can do better. Ask about their goals and aspirations and have some dialog on how, working together, you can make them happen.

Lastly, never assume “everything” is okay and that your best employees are happy and content.

As always, open communication and clarity is the work of the No-Compromise Leader.

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