Headline: Norway‘s Fitness Boom: Record Breaking Profits, but Inequality Among Workers
Subhead: While the industry thrives, personal trainers struggle with fair compensation.
Article:
The Norwegian fitness industry is experiencing unprecedented growth, with record-breaking profits in 2023, according to a recent report by Virke, the country’s largest employer organization. However, not all workers in the sector are sharing in the wealth, with personal trainers raising concerns about fair compensation.
Record-Breaking Profits
In 2023, Virke’s fitness centers saw a turnover of NOK 6.9 billion, a 10% increase from the previous year. The profit margin stood at 12%. Similarly, SATS, the largest fitness chain in the Nordics, reported a turnover of NOK 4.7 billion, up from NOK 4.1 billion in 2022, with a profit margin of 12.8%.
Runar Wiksnes, chief analyst at Virke, predicts another record-breaking year in 2024. "We’re seeing a decline in price increases, and more consumers have stable incomes. This, coupled with expected real wage growth and the first interest rate cut approaching, means more people have money to spend on fitness," he said.
The Personal Trainer Dilemma
However, Cathrine Siro, a long-time union representative at SATS Tunejordet, sees a different picture. "It’s unfair that those of us who do the work aren’t benefiting more from this growth," she said.
Personal trainers, she argues, are not being fairly compensated for their work. They are only paid for the hours they spend with clients, not for the time they spend planning and preparing for those sessions. Their annual salary depends heavily on how many hours they work.
"It’s like modern-day slave labor," Siro said. "The personal trainers are the ones putting in the work, and they’re the ones who should be benefiting from this growth."
SATS’ Response
Tina Brodal, press contact at SATS, disputes Siro’s claims. She argues that SATS’ personal trainers have better employment rights than most in the industry, where self-employment is the norm. A level 4 personal trainer at SATS earns NOK 506 per hour, 166% above the industry standard.
However, when asked about the earnings of lower-level personal trainers, Brodal declined to comment, saying, "We don’t publish our salary matrix publicly."
Brodal also clarified that SATS’ personal trainers are paid for the hours they work with clients, plus a guaranteed daily rate if they can’t work due to illness.
The Future of the Industry
While the industry is expected to continue growing, Siro remains skeptical. "We’re not seeing any of this growth here," she said, referring to SATS Tunejordet. "It’s the same wages and costs, and no one here works full-time as a personal trainer."
Brodal, however, is optimistic. She noted that SATS has implemented several improvements based on feedback from personal trainers, including increased bonuses, free trial sessions, and guaranteed pay during maternity leave or sick leave.
She also pointed out that most SATS locations are in major cities, where personal trainers have full schedules and earn high wages. However, she acknowledged that there may be challenges in smaller centers, particularly in areas with lower purchasing power.
As the fitness industry continues to boom, the debate over fair compensation for personal trainers is likely to continue. While the industry as a whole is thriving, it’s clear that not all workers are sharing in the prosperity.
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