Surveys say most employers are giving holiday bonuses this year

The Holiday season and the close of 2024 is already here, almost as quickly as it began. With that, it also means that holiday bonus season has arrived for workers across the country. Now, in a floundering President Biden economy, it might seem like the idea of a bonus is fleeting, at best. But there might be hope after all for employees.

A recent survey from Agital shows that most employers, about 60 percent, are planning to give holiday bonuses this season. Now, that is not to say you should expect a Fortune 500 Company check, about 30 percent of those companies say the bonus will range between $100 to $250. But something is always better than nothing.

All of it seems unexpected in the current state of economic affairs. But Betsy Allen Manning of Destination Workplace says this is not about the economy as much as employee retention.

"We are in a war for talent right now, with the staffing shortages people are facing...and bonuses are going to help keep the aces in their places," she says.

You can argue that retention and the economy can go hand-in-hand, but especially with the dwindling quality of the applicant pool, it is much better to keep a current good worker happy than hire a wildcard.

In the same survey, 82 percent of employers say bonuses boost morale. Which, of course, checks out. Anyone getting free money from their company will always be happy. But funny enough, while 60 percent of employers say they will give bonuses this year, only 42 percent of employees expect them.

That opens up another morale builder opportunity for the employers.

"In our recent survey as well... the number one thing employees said they want is a sense of purpose and a sense of hope...that is what this is providing, that sense of purpose and hope when they come back to work," she says.

Part of the bonus wave too could just be hope on the business side of an improving economy when President-elect Trump assumes office again.

There is another morale aspect to this as well. Younger generations have seen low salaries for a long time, and most see no way up the ladder, as older workers refuse to retire. An unexpected bonus gives them that same sense of purpose, hope, and keeps them around longer.

"Show them this is how it is done, when you work hard, you get rewarded for that hard work," she says. "It takes people from being coasters in your company to contributors in your company."

About 55 percent of employees say a bonus plays a significant role in their job satisfaction. But again, there is some hope again potentially on the horizon for many employees.