Just under two-thirds (62%) of employees are not expecting to receive a Christmas bonus this year, according to research by Epassi UK.
Its survey of 2,000 adults also found that half (52%) of respondents revealed that Christmas bonuses provide them with a lifeline due to high living costs, with 40% admitting that they could not afford Christmas without it.
Just 9% said they are expecting a larger Christmas bonus this year, and 68% of employees stated that the prospect of a Christmas bonus keeps them motivated and helps boost business performance.
Despite this, many employees fear Christmas bonuses could soon become a thing of the past, as 43% think this is the last Christmas they will receive a bonus.
There is a strong demand among respondents for ongoing financial support from their employers rather than a one-off bonus at Christmas; 59% of those who are expecting a bonus would prefer year-round support instead.
Furthermore, the research shows that 61% of those who will be getting a Christmas bonus would prefer a better benefits package instead, and 59% of employees think that the money spent on a Christmas party could be better spent on financial wellbeing support.
Matt Russell, chief executive officer at Epassi UK and Zest, said: “Although many employees are resigned to not receiving a bonus from their employer, there is strong demand for financial support throughout the year to help them with rising living costs. Ongoing financial support delivered through benefits packages is a cost-effective approach for employers to reward staff, keeping them motivated, which, in turn, boosts talent retention and productivity.”
