More employers opted out of holiday bonuses this year than last, while 81 percent of those that did extend bonuses kept the value flat, according to a year-end report from Challenger, Gray & Christmas.
The results are from the executive coaching firm's online survey of 252 companies nationwide of various sizes and industries. Some key findings:
- Twenty-seven percent of employers did not plan to award a holiday bonus for 2022, up from 23 percent who reported the same in 2021.
- Twenty-nine percent of employers planned to award a non-monetary or nominal award, down from 35 percent who reported the same in 2021.
- Of the companies offering holiday bonuses, 81 percent planned to leave the value about the same as last year.
"As companies enter uncertain economic conditions, they are attempting to cut costs while still showing their current workers they are valued," said Andrew Challenger, senior vice president of Challenger, Gray & Christmas. "Last year, employers needed to step up incentives to retain their employees, hence the increase in value of bonuses, but that situation has flipped somewhat as we enter 2023."