The demand for outdoor winter sports has been high since the onset of the pandemic and ski resorts are benefiting this year. However, staffing the seasonal properties remains a hurdle for some.
The Little Nell in Aspen, Colorado, a property with ski-in and ski-out access to Aspen Mountain, had its biggest storm in 43 years at the end of December, said General Manager Jonathan Fillman. He said he feels fortunate that his hotel is in a position where demand has exceeded supply.
"Our occupancy pace for January, February and March are all exceeding pre-pandemic numbers from 2019," he said via email. "For example, March occupancy is already at 70-plus percent, compared to 55% in March 2019."
He said for every cancellation the property gets, there are two more inquiries to book. Domestic family groups continue to dominate the demand, though the property is equipped to host group business and international travelers.
"The remarkable nature of this current ski season is not so much in how we are comparing to last ski season, which was severely impacted by the pandemic, but that we are pacing well against pre-pandemic, 2019 bookings," he added.
He said he's confident The Little Nell's revenue will outperform expectations and likely set new records this ski season, but the question he asks himself is, "how long will this booking pace and demand keep up as we plan for the future."
Fillman said the property will remain busy up until mid-April, at which time it closes for the shoulder season in preparation for summer.
In Michigan, the demand for outdoor sports has been high since the onset of the pandemic, said Erin Ernst, director of communications, Michigan operations, at Boyne Resorts.
Boyne Resorts collectively includes The Highlands in Harbor Springs, Michigan; Boyne Mountain in Boyne Falls; and Inn at Bay Harbor, Autograph Collection, in Bay Harbor.
"The winter interest continues to be strong," she said via email.
Since each resort is open year-round, operations roll right into springtime attractions once winter comes to a close. Boyne Mountain has Michigan's largest indoor water park, an appealing attraction for spring breakers. Golf, spa and dining experiences also complement the warmer months, she said.
Labor a Concern For Some
Ski resorts, like the overall industry, are challenged by the labor shortage.
According to a note to investors by Truist Securities analysts who cover Vail Resorts, the company is "experiencing severe labor issues that are negatively impacting the consumer experience."
The labor issues at these resorts are rippling through its lift openings/staffing, snow grooming and food and beverage and retail operations all while ski pass sales are up 76% from the 2019/2020 ski season, the note said.
As of December, Vail Resorts sold 2.1 million passes for the 2021 to 2022 season after cutting the price by 20%.
"On the other hand, labor-related issues are in general less of a major issue at competitors' resorts, implying such severe issues may be more unique to [Vail Resorts]," the Truist Securities note further states.
Evidence of that stems from Vail Resorts allegedly not offering wages that are competitive enough in their local markets, gutting middle management positions and visa workers being in short supply, the note said.
Truist Securities analysts, however, said they aren't indicating the worst and "we are not about to reduce earnings estimates yet." They also wrote that "it is not out of the question that these labor issues may have some financial impact, though extremely difficult to quantify, on [Vail Resorts'] revenues and margins."
Consumers are taking their frustrations to social media and news outlets.
Vail Resorts didn't respond to requests from Hotel News Now for comments.
Visa Shortage
The Little Nell's Fillman said the seasonal resort environment has always been complex in regard to staffing but the present labor shortage has allowed his property to get creative.
"The U.S. hit [its] H-2B cap last October, and as a result, we were unable to bring new H-2B employees from overseas," he said. "However, H-2B employees already in the country could have an extension applied, if they so wished."
His team reached out to a nearby Colorado Springs hotel, The Broadmoor, which traditionally employs numerous H-2B staff. Since the hotel's high season of summer/fall tapers off when The Little Nell's winter ski season begins, The Broadmoor was able to transfer housekeeping and culinary employees.
Those employees "would have otherwise been forced to return home, but desired to stay in the U.S. and keep working. This was a win-win for everyone," he added.
The Little Nell has also had success with the J-1 visa program, connecting with its partner in South America the first week of July 2021 to begin the winter recruitment process.
This prompted an overwhelming response from students who had previously worked at The Little Nell and were anxious to return, Fillman said.
"Many of our returning staff brought friends and family members along to work with them. In a normal, pre-pandemic year, we would typically hire approximately 40 J-1 students and this year, due to the domestic labor shortage, we brought on 85," he said.
Ernst said her three resorts work with visa programs to assist with staffing, with a majority through the J-1 program and students traveling for the work and cultural experience. The H-2B program is also used.
The visa programs "have been hugely beneficial in helping us achieve the staffing levels that we need. Many positions on our year-round workforce also change from summer to winter, e.g. those that work in golf operations typically transfer to positions in ski or retail operations for winter, which also helps to fill positions in both seasons," she added.
Fillman said his property is solid operationally, with a core group of veteran management and hourly staff members who have "poured a ton of energy" into training and motivating the team.
"If I had to name one challenge that we face, it would be the management of employees who are out sick," he said. "This component has become a full-time job, but I do think we are on the downward curve with the present variant and are closer to the light at the end of the tunnel."