All actions by the company’s Executive Committee make it clear that their first and only priority is profit. Employees, communities and guest safety are only valuable to the extent they accelerate profit (or similarly, reduce expenses).
There is nothing immoral about being profit-motivated, as Vail Resort is, after all, a public, for-profit company. The rub comes with the disingenuous approach of company. Whether you’re interviewing for a job, a current employee, investor or just a general observer, you’ll regularly hear company leaders speak of the “Experience of a Lifetime” the company is creating for guests and employees as well as the leadership-focused culture of the company. This is where the betrayal lies. The company creates a façade of shared passion and commitment to doing great things together, to “re-imagining the mountain experience around the world.” But in reality, the commitment of the company is to accelerate profit through all means necessary. Look past the passion-filled rally cry and it’s easy to see that underlying all of the company’s decision making, profit is the only real consideration.
How does this play out? A few examples:
Employees: pitiful wages (at all levels, not just entry level) are only the start. The company rolled out a sweeping and altogether subjective “talent philosophy” two years ago that has become the drumbeat to pushing out employees, many of whom are long-tenured. If an employee is not viewed as “high potential,” he/she will have a short remaining tenure. What defines high potential? You could look at the HR-crafted 1.5 page document distributed to all managers but you’ll find nothing of objective significance. The true answer is high potential means you’ve found favor in the eyes of your senior leadership (generally VP and above), typically as a result of your willingness to sacrifice blindly for the good of company profits. The two most common sacrifices that will be asked of you: accept a constantly increasing workload & merging of roles with no salary increase; be willing to relocate at the company’s whim to any near or far-off place (and not complain about the abysmal relocation package). Not willing to do both of these at any moment, regardless or your personal or family situation? You’re now a low potential employee and will soon be moved out. This is not an exaggeration—the company has created a term for you. You’re a “blocker.” Meaning you’re in the way of their desire to move employees around like chess pieces, and you must go.
Communities: the penchant for centralizing jobs to corporate headquarters in Broomfield, CO has led to several rounds of job eliminations across all US and Canada resort communities. As of this writing, the count of jobs eliminated is in the hundreds. Taking jobs out of the local resort community is a manifestation of the larger Vail Resorts mentality that local communities do not matter unless there’s an angle to increase profits or save money. Don’t mistake the quarterly article in the local newspaper about the company’s charitable giving as a sign of social conscience. These efforts are highly strategized and timed to distract from larger issues. It’s essentially a method of lobbying within the court of public opinion—reframe the narrative to fit the company’s pursuits. For example, employees living below the poverty line is the story. Not the fact that the company gave $25k (a pittance for a company with a multi-billion dollar market cap) to the local food bank.
Guest safety: next time you’re on a chairlift with a ski patroller, ask him or her how understaffed they are. Ask when was the last time they were told there was “no budget” to pay for more headcount or what improved first aid gear they requested was denied in the latest fiscal year budget request. Ask how many patrollers can barely make ends meet due to low pay. Ask when was the last time he/she saw the company cut corners on safety to save money. Ask why the number of safety attendants (yellow jackets) and ski patrollers has not increased at most mountains for several years despite record visitation growth over the same period.
The bottom line is this: Vail Resorts leadership operates with a ruthless focus on profits but refuses to acknowledge this to employees, guests or communities. They will continue to talk as though they are committed to employees, guests, communities and safety—but their actions will always go back to profits.
