The holidays will bring a little extra cheer for many workers this season, with two thirds (66 percent) of companies planning to award year-end bonuses and gifts, according to a survey from Challenger, Gray & Christmas. That’s up from 50 percent from Challenger’s 2015 holiday bonus survey.
Another survey, this one from recruiting firm Accounting Principles, finds that 75 percent of companies will award bonuses this year. Thirteen percent of companies will provide bonuses of between $1 and $99, 37 percent between $100 and $499, 21 percent will provide between $500 and $899, and 29 percent will be awarding their lucky employees $1,000 or more.
Credit the steadily improving economy for the rise in bonuses, says Challenger, Gray & Christmas CEO John Challenger. “As [the economy] continues to improve, employers will have to rely increasingly on bonuses and other perks to hold onto valuable employees,” he said in a statement.
Full results of the Challenger survey below:
Does your company award year-end/holiday bonus, perks or gifts to employees? (Check all that apply)
|Yes, we provide a non-monetary gift to all employees (such as gift basket or extra vacation day).||14.8%||6.3%|
|Yes, we award a nominal ($100 or less) monetary award to all employees (cash or gift certificate).||11.1%||12.5%|
|We award a monetary bonus to all employees, the size of which is determined by the company’s overall performance throughout the year.||18.5%||18.8%|
|We award a performance-based year-end bonus to selected employees, the amount of which is determined by individual’s contribution to departmental and/or company-wide objectives.||22.2%||37.5%|
|No, we do not award any type of year-end/holiday monetary or non-monetary bonus/perk/gift.||29.6%||43.8%|
|No, we have awarded year-end/holiday bonuses in the past, but we will not be doing so this year due to the economy.||0.0%||0.0%|
If your company does award year-end/holiday bonus, perks or gifts to employees, please describe how this year’s distribution differs from last year.
|The monetary value of the year-end bonus will increase.||18.2%|
|The monetary value of the year-end bonus will decrease.||9.1%|
|The monetary value of the year-end bonus will be about the same as last year.||72.7%|
|We are reinstituting year-end bonus/perk/gift after one or more years of not offering such awards.||0.0%|
Source: Challenger, Gray & Christmas, Inc. ©