- Traditional festive gifts such as hampers and vouchers are still valued by employees, as long as choice and personalisation is also offered.
- More sustainable and socially conscious gifting options have emerged following increased focus on climate change.
- Due to the cost-of-living crisis, employees may value financial support to help them prepare for Christmas, so money saving schemes are a good to offer.
Blackhawk Network’s October 2022 research revealed that 86% of employees feel that gifts and rewards would make them feel valued. Many employers will give their employees some form of gift during the festive season to recognise their hard work, but what do staff value most at this time of year?
Traditional Christmas gifts
Traditional gifts, such as vouchers and gift cards, continue to hold value among employees due to the flexibility they offer.
Hampers are also popular because they can be personalised and curated to reflect different tastes. Hampers create an impact by being a tangible gift, and often include keepsakes that bring lasting memories, explains Tracy Finn, head of corporate service at Harrods.
“Gift cards have also remained popular as they offer choice, allowing employees to select items they truly desire,” she says. “Experience days have gained popularity as they create lasting memories, adding a sense of adventure and excitement. Personalised gifts, carefully hand-picked for the recipient’s style and preferences, hold greater resonance and impact.”
Choosing a gift that reflects employees’ current needs, such as a monetary bonus so they can spend it as they wish, or a team outing to celebrate a successful year, can go a long way in boosting morale towards the end of the year, says Nebel Crowhurst, chief people officer at Reward Gateway. “One option is to enable employees to redeem a gift card at their local butcher to help pay for their Christmas meal.”
Christmas gifting is an opportunity to show employees that they are valued, but only if it is done right. Secret Santa gifts are common in the workplace, however, when it comes to showing true appreciation, a £5 novelty mug might not hit the mark. Effective workplace gifting should involve relevance and choice, as meeting everyone’s needs is impossible.
One option is to fill themed gift boxes with personalised options or an experience employees can share with friends or family, says Jag Banwait, retail and corporate sales director at Red Letter Days. Alternatively, some employees may value a voucher they can put towards themselves or their children, says Chris Ronald, vice president B2B EMEA at Blackhawk Network.
“Others may prefer help to get their Christmas food shop done, so they can have that little extra treat on the table,” he says. “By giving staff the choice, they have the power to select what is right for them, making the gift more meaningful and impactful. Allowing the receiver to pick something will make them feel valued.”
Banwait adds: “Employees want to feel valued for their hard work, so it is important to recognise their accomplishments. Memories are forever and gifting hampers doesn’t quite show the due care and appreciation that they deserve.”
Sustainable Christmas gifts
Festive gifts take many forms these days, including sustainable options. These can include dedicating a tree to an individual that will then be planted through organisations such as Gift a Tree in order to offset carbon, ActionAid’s give a goat campaign, where African farming families can receive a goat to help improve their food security, and an introductory mini ecosystem workshop, where participants can learn about terrariums and natural ecosystems while building their own.
Christmas is a time where people recognise that giving can be just as valuable as receiving, and they have a stronger social consciousness, driving them to give back, explains Ronald.
“A lot of employers give their staff allotted days to take off and spend time volunteering for a charity they care about through an employer-sponsored charity day, whether it’s visits to a care home, serving at a soup kitchen, or children’s toy collections,” he says.
Crowhurst adds: “One of our clothing retailer clients has been exceptionally creative around Christmas, giving employees excess stock as part of their gifts. This showcases their employee value proposition and their sustainable mindset.”
Valued workplace incentives
Budget constraints stemming from the cost-of-living crisis, mean employers may have to contemplate a trade-off between options. They will need to consider what will be most valued: spending their budget on a party or an incentive for each employee?
“A very well-received staff incentive is an extra paid day off on top of standard holiday allowance to relax, watch Christmas movies or go shopping,” Ronald says.
Christmas incentives are no longer centred around one big gift at the end of the year, but about year-round support and preparation. As the cost-of-living crisis continues, employees may value financial assistance to help them prepare for Christmas. For example, those saving to get their child an iPad, employers can sign up to Techscheme, which allows employees to save money on technology and spread the cost, while those looking to reduce their commuting costs ahead of new year price hikes could take advantage of bikes-for-work schemes, which save workers 25-39% on a bicycle and accessories. Voluntary benefits and retail discounts schemes, meanwhile, can help employees’ money go further.
What employees value at Christmas is often not that different to what they would like all year long, which is to be appreciated by their employer. Gifts and incentives are still important to feeling valued, but any support an employer can offer to ease worries during a tricky economic time is likely to be well received.