2020 is bringing many anticipated changes to government-regulated industry standards.
The year 2020 is bringing many anticipated changes to government-regulated industry standards.
While some occupations in the beauty industry are heavily regulated, others remain relatively unsupervised. This has led to numerous consumer complaints varying from spa and worker hygiene to severe injury resulting from negligence to Alberta Health and Alberta Health Services.
Through discussions with industry representatives, business
owners, and provincial, territorial and federal health partners and
stakeholders, the government of Alberta (Alberta Health) has updated previous Health Standards and Guidelines. For
clarification purposes, the new updates apply to all types of personal
services businesses including commercial, home-based, mobile, special-event,
and vehicle-based businesses.
This article breaks down
and interprets the updates into 5 sections of the Personal
Services Standards guidelines.
If you are new to the beauty industry and are operating a home business, we recommend our Canadian Spa Industry Standards course to ensure that your business meets regulatory requirements and obligations for the protection of public health and your growing business.
Did you think Employment Insurance and Chair Renters would never come up in the same sentence?
CTV NEWS Saskatoon did a report on how salon owners that rent our chairs are impacted by Employment Insurance fees imposed by the Canada Revenue Agency (CRA).
The report focuses on Stacey Zielinski , owner of The Beach Beauty Bar in Martensville, Saskatchewan. Like many others, Stacey was under the impression that chair renters are independent contractors and therefore are not governed under employment laws and regulations.
Luckily for Zielinski, her tab was not too high, as only 1/5 hairstylists was a chair renter. This got us thinking though, how does this impact the industry?
What does this mean for salon owners who only rent out chairs?
Renting out chairs to hairstylists has always been an attractive option for salon owners. Renting out chairs produces consistent income, removes employee-related issues, and was formerly believed to eliminate the cost of wages and MERCS.
It is widely believed that the salon owner does not pay money to the renter; but they do however collect money from the renter. Typically, the hairstylist pays a monthly fee to offer services to their growing clientele from an already established salon. In exchange for this fee, the salon owner allows use of the chair and fixtures during operating hours.
Contrary to popular belief, salon owners are liable to pay
Employment Insurance fees to the CRA for chair renters. Normally, independent
contractors from other industries are not eligible for EI, however, there is an
exception for barbers and hairstylists.
Normally, EI is paid to employees based on the hours worked per pay period. Because chair renters dictate their own hours, the CRA calculates EI fees on the number of days the chair renter offered services in the establishment.
Why is there an exception for barbers and hairstylists?
As it was explained by a CRA representative, this exception was put into place to secure the income of a hairstylist in the event that the salon owner is no longer able to provide the chair renter with a space to work from. Examples are salon owners who are evicted from their rented space or go out of business.
What is the difference between independent contractors in the beauty industry versus other industries?
Nothing really. We searched for answers but could not find a clear explanation for this exception.
The exception to the exception.
While a salon owner must pay the employer portion of EI fees for independent contractors, this fee is eliminated IF the chair renter is incorporated.
What is the difference between a sole proprietorship, a partnership, and a corporation?
All of the above are forms of entrepreneurship. They differ in a few ways including the annual costs and taxes payable to the CRA. The main difference is that in a sole proprietorship or partnership, the business is an extension of you (and your partners if applicable) whereas a corporation is viewed as an entity external to you. It even has its own SIN, however, it’s called a BN (Business Number).
There are many benefits to registering your business as a corporation. Learn more.
Where does this legislation come from?
It is believed that this legislation was created to protect the
income of women and single mothers based on the occupation’s demographic at the
time the legislation was created.
Two conditions apply to this employment insurance regulation:
The barber or hairstylist offers services out of the establishment.
The barber or hairstylist is not the owner of the establishment.
What if the salon owner also owns the building?
Unfortunately, it doesn’t matter. Salon owners who own the building must also pay EI fees.
What if the hairstylist does not pay EI?
Unfortunately, it doesn’t matter. The onus is on the salon owner to pay the employer portion of a chair renter’s EI whether or not they pay their own premiums.
Does this legislation affect room rentals for esthetics services?
No, this legislation only applies to Hairstylists and Barbers at the time this article was published.
*NOTE- Monday classes are taught on Tuesdays during the summer schedule
EXECUTIVE SPA GROUP can help you access grants to pay for your esthetics training courses.
GRANT ELIGIBILITY REQUIREMENTS
I AM CURRENTLY WORKING.
If you are currently working, you should have a conversation with your employer regarding your future career goals and how they will benefit the workplace.
Your employer can apply for a grant to cover 2/3 of all training costs. You can only register for your desired training until your grant application has been approved. It usually takes about a month for the application to be approved, so don’t waste time, apply now!
If you are a new employee and have been there for less than 30 days, your employer is eligible for 100% of training costs in grant funding.
We can help with your grant application process.
Have your employer call or email us. We can make a trip to your workplace to help you sort out the process.
Can I pay for the training myself?
Yes. As the trainee, you can fund your own training costs, but your employer must apply on your behalf. Keep in mind that you will have to pay all training costs up front. Your employer will be reimbursed and will have to provide documentation demonstrating they in turn reimbursed you.
However, these types of grants are intended for your employer to invest in your development, therefore, it is expected that they will invest 1/3 of the costs, even if you are the one who paid for it up front.
When can I expect reimbursement?
You have 30 days after you complete your training to submit proof of completion in order to receive your reimbursement. On average, reimbursement takes 4-6 weeks post submission, so submit asap!
I AM NOT WORKING ATM.
If you are not working at the moment and have been unemployed for 30 consecutive days or more, you have the option to find an employer who will sponsor your training. When an employer hires a NEW employee, 100% of the training costs can be funded.
This option works especially well for experienced estheticians who require an additional skill to work at a certain spa.
If you are new to the beauty industry, we recommend applying for Receptionist or Assistant positions and working out a training plan with your new employer.
If you are having difficulty finding a sponsoring employer, you have other options, call or email us for more information.
ESTHETICS TRAINING COURSE SUMMER SCHEDULE
JUNE
JUNE 18, 2019- MANICURES AND PEDICURES 101
JUNE 25, 2019- WAXING AND TINTING 101
JUNE 25, 2019- SALON/SPA MANAGEMENT
AUGUST
AUGUST 6, 2019 – LASH EXTENSIONS 102
AUGUST 6, 2019 – NAIL EXTENSIONS 102
AUGUST 6, 2019 – SPA INDUSTRY
STANDARDS
AUGUST 13, 2019- MAKEUP ARTISTRY 101
AUGUST 13, 2019- RETAIL
AUGUST 20, 2019- MANICURES AND
PEDICURES 101
AUGUST 27, 2019- WAXING AND TINTING
101
AUGUST 27, 2019- SALON/SPA MANAGEMENT
JULY
JULY 2, 2019 – LASH EXTENSIONS 102
JULY 2, 2019- NAIL EXTENSIONS 102
JULY 2, 2019- SPA INDUSTRY STANDARDS
JULY 9, 2019- MAKEUP ARTISTRY 101
JULY 9, 2019- RETAIL
JULY 16, 2019- MANICURES AND PEDICURES
101
JULY 23, 2019- WAXING AND TINTING 101
JULY 30, 2019- SALON/SPA MANAGEMENT
EXECUTIVE SPA GROUP (780)604-2772 info@executivespagroup.com
With the growing number of beauty professionals in this country, we thought we would take a look at employment mobility through Canada. While certification standards differ from province to province, here are some things you need to know if you are planning to move.
In Canada, all of the provinces and territories have regulation for hairstylists through the Red Seal Journeyman Certification. With this certificate, you are able to legally work from province to province. However, each province has different standards of training, so check out the National Employment Requirements to find out what you need to begin your trade. Barbering falls under the Hairstylist occupation as well, so certification will still be mandatory to practice this specialized craft.
As an Esthetician in Canada, however, you may find your mobility limited, as few provinces have regulation trade requirements:
Manitoba regulates their Electrologists and Estheticians through Apprenticeship Manitoba
Saskatchewan divides their esthetic regulations between Nail Technicians and Skin Care specialists, also through an apprenticeship and trade certification commission.
Training and on-the-job hours may transfer to a regulated province if you meet their individual criteria. If you are moving outside of a regulated province, your training and certification will be appealing to employers in a province that does not have these requirements.
While the country is looking to start standardizing esthetics, hairstyling is the only beauty industry career that has national standards. If you are considering moving, or you need more information about labour mobility in Canada, visit Worker’s Mobility.
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Yes, if you are currently unemployed, there is a grant available for this course IF this course will lead directly to employment. You must be able to present an employment offer letter on letterhead signed by the employer indicating that certification in Face and Body Waxing is conditional upon hiring.
If you are already employed in a beauty industry job, your employer might be eligible to receive a grant to cover 2/3 of the training costs.
HOW DO I REGISTER?
To register, call (780) 604 2772 # 102. Once you are enrolled you will receive email confirmation, receipt of you deposit, and your class schedule. Please have your credit card ready as we will be taking a $500 deposit to enroll you in the course. You can also register online by clicking HERE.
EXECUTIVE SPA GROUP
(780)604-2772
info@executivespagroup.com
