Should discounts be absorbed by employee?

Should discounts be absorbed by employee?

by Lisa
(Bear, DE, USA)

I am an independent contractor at a spa. I have set hours that I am on call and only go in when I have a client. The spa pays for all supplies, does my booking and takes care of the laundry. I get a 50-50 split. The spa continues to give discounts every month off my massages and other services at the spa. They do not inform me of these ahead of time or let me know who is getting them. So when I get a copy of my pay stub and listing of clients I have seen, I see most of the massages I gave were discounted. Shouldn't the spa be absorbing the cost of the discount since it is part of their marketing?
I hope this wasn't too confusing. Thank you.
Lisa

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Should discounts be absorbed by employee?

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Jan 22, 2008

massage employees
by: Anonymous

So you are an employee then on commission?
That is what the arrangement usually is when you are paid a split - otherwise there may be a legal kickback issue but you have to have a lawyer to help you determine your status.

Since you agreed to this arrangement, there isn't much you can do.

I am now offering email consultations for people to help them figure out what they want and learn more about what to ask in situations like these or with other concerns about working or starting your own practice.

Just contact me on the contact page
http://www.massagetherapycareers.com/contact.html

Julie

Jan 22, 2008

Bad with the Good
by: Sean Slovik

Sounds to me like you negotiated a bad deal from the beginning. Now you are getting what you agreed to--still a 50/50 split.

A better deal for you to have negotiated is one where you identified what you needed to be compensated for each hour that you massaged. This identified amount is what you are worth (at least to you). It is irrespective of what the spa makes per massage--whether they are making $10 per massage or $200 per massage.

However, since you voluntarily agreed to the 50/50 split of the collected amount, we can only assume you where OK with all the repercussions such an agreement brings with it. Therefore, you are both equally absorbing the discounted amount 50/50.

When engaged in a "splitting" agreement, you sometimes come out ahead, other times you don't. There's a risk factor involved. Sounds like now the risk factor is cashing into the equation, and you are not happy with it.

Keep in mind that: in agreements that you enter into as an Independent Contractor, you have to take the bad with the good.

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Should discounts be absorbed by employee?

Comments for Should discounts be absorbed by employee?

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Should discounts be absorbed by employee?