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Old 06-30-2015, 07:58 AM
cabimom's Avatar
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Default Has your company ever changed its compensation plan?

In the years you have been with your company has your compensation plan ever changed from what you were told when you joined? Gone up? Gone down? Taken away?

Did the change affect you in any way? Good? Bad?

Arbonne just did away with their 4% commission on personal team members. No compensation until you reach District Manager. Unfortunately for me this month my team had their best month in a long time, but I am not a DM so I will receive 0 compensation.

The DM compensation increased so I know the intent is to give you incentive to reach DM fast. But for me it was very discouraging.
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Old 06-30-2015, 01:22 PM
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I'm sorry to hear that! I've been with 2 companies that changed plans (the first was when I was with Madison Handbags that closed last year and then this year with Lemongrass Spa) however, both times the plans were changed for the better (more downline commissions, higher individual commissions, etc) so it was pretty well received. Did they say what the reason was for taking away those commissions?
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Old 06-30-2015, 02:23 PM
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Sorry Cheryl, It seems like they could have found a way to make DM more motivational without taking something away from the other level. I am sure you put time, effort and care into helping your team members this month too and that in my opinion should be rewarded. Keep up the great work! It sounds like your team is on a roll and that's pretty awesome for a summer month. The change stinks but be proud of what you and your team have accomplished none the less. <3

Trades of Hope has only has a minor change in their comp plan. We have never had an annual renewal fee and in the past they had no yearly min. either. So someone could sign up to sell and never sell anything yet they remained on the list of CEs forever. They did update that about a year ago to be that we had to sell $150 (retail)/ year to remain as a CE. I believed that change to be a beneficial one. That's a pretty low yearly min. and if they aren't going to buy/sell that much in a year, it would help our artisans more for them to host one show a year instead.
Amanda
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Old 06-30-2015, 05:22 PM
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Yes, Tastefully Simple has changed their compensation plan a few times since I joined. It used to be 36% commission and we paid host rewards. They changed it to 30% commission with TS paying host rewards.

They also changed the leader sales requirements to earn commission in 2013
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Old 06-30-2015, 06:14 PM
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So far from what I have read , most of your changes have been positive. I have never heard of a company taking away commission for team building, reducing maybe, but not doing away with it all together.
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Old 07-08-2015, 12:22 PM
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Unfortunately this does happen in DS companies just like in brick and mortar businesses. I went through this with a company after 2 years, building a large productive team and maintaining inventory only to have comp plan changes that were not for the better of consultants. You live and learn and on to better things.

Best wishes.

Nicolette

Quote:
Originally Posted by cabimom View Post
In the years you have been with your company has your compensation plan ever changed from what you were told when you joined? Gone up? Gone down? Taken away?

Did the change affect you in any way? Good? Bad?

Arbonne just did away with their 4% commission on personal team members. No compensation until you reach District Manager. Unfortunately for me this month my team had their best month in a long time, but I am not a DM so I will receive 0 compensation.

The DM compensation increased so I know the intent is to give you incentive to reach DM fast. But for me it was very discouraging.
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Old 07-08-2015, 07:27 PM
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I haven't experienced this, but wow. I'm sorry that is happening to you. I think most compensation plans are similar, with some perks in some that others don't have.

I just joined a new company 10 days ago to add to what I'm doing and I do have to say their plan is unlike any I've seen before. We're in the early launch so everyone who comes in during that time gets founder status with the higher commission paid, no requirement to work up to that level. Their thoughts on rank promotions (right now, everyone is promoting like crazy because during this initial time it's only based on building a team, not on sales volumes) as well as not losing a team if one of your team members outranks you is pretty refreshing. The other thing I was suprised by is that there isn't a monthly quota, either to promote or to earn on your team. What there is for promotions is a sales quota after this initial period, but it's not even a monthly one. It's cummulative, both personal sales and team volumes. I haven't seen that before. It's going to be fun to see this play out. We're sure having a ball getting things going.
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Old 07-17-2015, 12:38 PM
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I think it is very rare to have one make a change like this. I have heard of changing requirements to earn overrides but I am not sure I have heard of them just removing an override (or what is earned on downline members) altogether.

I understand that they want to encourage leadership but the opposite of that is if you don't want to be a DM or you aren't close to getting there, it can be DEmotivating to sponsor. Not everyone wants to be a leader in a company but if there is NO incentive to recruit until you are in Leadership with minimum requirements (such as the first level of Leadership where there is a minimum amount that must be sold each month) then you will have reduced recruiting.

It sounds like Arbonne had something similar to what 31 has for what we call a Senior Consultant. A Senior Consultant with 31 starts earning 2% on the people she sponsors once she has 2 qualified recruits under her. There is no requirement for the Senior Consultant to sell anything to earn that 2%. She just has to always maintain at least 2 qualified recruits under her. I have gals on my team that are proud and happy to remain at Senior Consultant because it does give them a little bit extra and therefore a reason to recruit at least 2 and keep recruiting. If they got nothing, then really they wouldn't care about sponsoring at all.

Sorry that happened to you. I agree. That stinks
Leanne




Quote:
Originally Posted by cabimom View Post
In the years you have been with your company has your compensation plan ever changed from what you were told when you joined? Gone up? Gone down? Taken away?

Did the change affect you in any way? Good? Bad?

Arbonne just did away with their 4% commission on personal team members. No compensation until you reach District Manager. Unfortunately for me this month my team had their best month in a long time, but I am not a DM so I will receive 0 compensation.

The DM compensation increased so I know the intent is to give you incentive to reach DM fast. But for me it was very discouraging.
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