Payroll and Benefits


The payroll category is the club’s largest controllable area. Key advice includes doing a better job of matching staff levels to actual member usage levels, eliminating certain positions, hiring new employees at hourly wages that start at less than current employees in those positions, outsourcing certain functions (especially IT and human resources), not replacing a department head when they leave and doing a better job of terminating underachievers.

Other recommendations include making department heads both “do” and manage, using a department head to oversee an additional department, tying all increased compensation to measurable performance objectives, and doing a better job of screening at the time of hiring.

Benefit pressures have triggered increased deductibles and co-pays for health insurance, the elimination of underused benefits and stricter eligibility requirements.

Other benefits have been switched, including attendance bonuses (rather than sick days), creative staff events and contests, as well as unique gifts and otherforms of recognition. Staff development dollars have been frozen or decreased, encouraging staff to learn on their own or even online. More in-house training has become the norm.

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