In a letter to employees yesterday, Vail Resorts CEO Rob Katz announced that the company will ‘significantly increase the minimum wage for hourly employees in the United States.’
Effective from winter 21/22, employees paid hourly in Colorado, California, Utah, and Washington state will be paid $15.00 per hour. The company will also offer paid sick leave to all full-time seasonal workers next year.
The announcement came the same day that Vail Resorts posted their third-quarter earnings. The company beat expectations with $275-million profit on $889-million revenue.
- Related: Vail Resorts Beat Expectations Yesterday, Announcing 3rd Quarter Profit of $275-Million on $889-Million Revenue
In April 2020, the company furloughed all hourly year-round workers for the next month and instituted six-month pay cuts for salaried employees of as much as 25%.
Recently unionized patrollers at Breckenridge and Crested Butte, CO, Park City, UT, and Stevens Pass, WA, will not receive the raise.
For employees who are represented by a union, wages and benefits will be addressed as part of the standard collective bargaining process.
Full letter below:
Today we are announcing a significant increase in the Vail Resorts minimum wage for our hourly employees in the United States.
Effective for the 2021/22 winter season, the Vail Resorts hourly minimum wage will increase to $15.00 per hour in Colorado, California, Utah and Washington state. We will also be increasing the minimum entry wage in our Eastern resorts on a market-by-market basis, giving consideration to the unique dynamics at each individual resort and the local competitive market. Based on this review, each Eastern resort will establish their specific new wage rates locally by July 15.
In addition to these minimum wage increases, we will be making adjustments for hourly employees earning just above minimum wage to account for the impact of wage compression by using differentials built into our current pay structure. For all other employees (seasonal and year-round) who are not impacted by these changes, we will be returning to our historic practice of annual 3% merit, adjusted for performance as appropriate. The cost of these wage changes will be the largest single investment we make as we head into next season
We are also announcing today that effective winter 2021/22 we will be offering paid Sick Time Off to all seasonal full-time employees who are not already eligible, in addition to COVID-19 Emergency Sick Leave (ESL). It is important to us that all full-time employees are able to take time off when they are sick so they can focus on resting and recovering. This change means all seasonal full-time employees in the US will have the same paid Sick Time Off benefits as year-round full-time employees, including employees in states which are not currently eligible. This enhancement also eliminates the hours worked requirement currently in place in Utah and New Hampshire, and improves the Sick Time Off benefit for employees covered by a state-required plan in California, Nevada, Vermont, and Washington
For employees based at GTLC, revised wages and benefits for summer 2022 will be confirmed at a later date. For employees who are represented by a union, wages and benefits will be addressed as part of the standard collective bargaining process.
I want to thank each and every one of you for your exceptional commitment and dedication to our company and delivering an Experience of a Lifetime to our guests – | am very much looking forward to a fantastic winter season for 2021-2022.
Chief Executive Officer