Several factors have impacted the labor market over the last few years. In hospitality especially, attrition increased during the pandemic as employees flocked to other industries that provided greater stability. The International Spa Association (ISPA) also identified the following key factors that impact high employee turnover rates in the spa industry.
- Lack of compensation and benefits: Employees are motivated by competitive pay, health insurance, retirement plans and other benefits.
- Burnout and stress: The spa industry can be fast-paced and high-pressure, leading to stress and burnout.
- Limited career advancement: Career development helps employees feel valued and invested in their work.
- Poor management and leadership: Management style, staff communication and workplace culture all have a significant impact on employee satisfaction and retention.
- Work-life balance: Balancing work and personal life is difficult due to working long hours, weekends and holidays.
These factors highlight one of the biggest challenges facing spa leadership: retention. A strong leader knows that it’s smart business to create a culture of belonging, as it proactively manages employee retention and it can attact the best talent in the industry. But, what is it about strong leaders that makes them better at retaining employees?