Personnel trainers are big business and a segment that is growing bigger every day. Only two years ago the New York Times published an article on the boom in the market citing a 44 percent growth in the last decade. And that includes the economic slow down.
The temptation to have personal trainers as independent contractors can be enticing but here are five good reasons why club owners. should not run their personal training or group exercise classes with the use of independent contractors.
Lack of Control
You must keep the keep the independent contractor relationship free of the kind of requirements that would make them staff. For instance, an independent contractor cannot be told how to dress, how to train, how to set their hours. The club owner also cannot require exclusivity. Any cross over into an employee relationship may set the stage for the trainer to bring an employment suit against you.
Workers’ Compensation
Except in very rare cases, most personal trainers do not carry their own workers’ comp insurance. If an injury takes place at your club, you are going to have to pay the premiums for their workers’ compensation regardless of whether you call them an employee or not.
Loss of Revenue
Your independent contractor trainers are free to train people outside the club on their own and sell supplements out of the trunk of their car. This translates into lost revenue for the gym.
Competition
Independent contractors, by nature, are more entrepreneurial than employees. A great trainer will likely become a club owner themselves and possibly your next competitor. Even if you have a well written “non-disclosure” agreement, don’t be surprised if your best members end up following that trainer to their new facility.
Liability and Safety
This goes back to the issue of control. If you don’t have the right to direct the proper training methods that you know to be safe in your gym, you are increasing your liability exposure. Increased claim activity translates into drastic increases in your insurance costs. Enough said.
Did I scare you yet? Don’t worry, there is a solution. A better way is to get into the “group” training business. is here to stay. If you currently are not a member of the National Fitness Business Alliance (NFBA) consider joining and learning from others who have successfully turned small group personal training (SGPT) into a core business in their own clubs.
