Is Your Employer Giving You an End of Year Christmas Bonus?
This year's economy has been difficult for many people. Due to high inflation, prices are skyrocketing, increasing the cost of living for many people. Prices in the UK have been rising since early 2021, as has the cost of living. In October 2022, the annual rate of inflation reached 11.1%, the highest level in 41 years, making goods and services less affordable for households.
Increasing costs and inflation have put tremendous pressure on business leaders. The increased use of credit and loans by businesses to manage costs is particularly concerning. Despite unemployment being near a historic low, BDO's study also showed that businesses are worried about maintaining their employees. A company that doesn't provide the right incentives or raises in line with inflation may make it impossible for employees to stay at their jobs.
Corporate Christmas Rewards recently conducted a study with business managers and CEOs across the United Kingdom on employee rewards during the holiday season. Employers determine Christmas bonuses based on sales targets (31%), profits (30%), and employee goals (29%). Four out of five respondents (41%) said they could motivate their employees more throughout the year.
A year-end bonus can be a powerful way to remind your employees that their hard work and dedication are directly related to the company's growth and success. A year-end bonus can help employees feel appreciated at work while also improving their personal lives, especially during times of rising costs and added pressure on households. If you want to show your employees how much you value their contributions, there is still time to give them a year-end bonus.
So, why should an employer offer end of year bonuses to its employees? Here are 4 key reasons:
- It motivates employees to work harder and achieve goals in order to receive a performance-based bonus
- Employees should be rewarded for their efforts, and their employers should make them feel appreciated.
- Helps attract top talent through competitive bonus packages and sign-on bonuses
- Supplements salary with bonuses in order to provide financial rewards that are most cost effective for the company
Is your company offering a year end bonus?