Daily Court Reporter - News Societal changes one reason why fewer companies are having holiday parties
Societal changes one reason why fewer companies are having holiday parties
BRANDON KLEIN, Daily Reporter Staff Writer
Despite a strong economy, fewer companies are having holiday parties since The Great Recession.
This year, 65 percent of companies surveyed plan to have a party compared with 62 percent in 2009, according to a survey from Challenger, Gray & Christmas Inc., a global outplacement consultancy firm.
"The low number of corporate celebrations does not appear to be due to economic reasons. Companies are sitting on tax savings and generally report a thriving economy," said Andrew Challenger, vice president of Challenger, Gray & Christmas Inc., in a statement.
The survey was conducted in October among 150 human resources representatives nationwide.
Among respondents not having a holiday party, 27 percent of respondents said they never hold company parties, the highest since the firm began the survey in 2004, and 8 percent reported they are not holding a party for various reasons.
In 2009, 15 percent of respondents said they never have holiday parties and 23 percent reported not having one that year for various reasons.
As Challenger said, the economy does not appear to be a factor as 62 percent companies said the economy has improved compared with 48 percent last year, while 29 percent reported the economy remains about the same.
"We have never seen so many companies report that they never have holiday parties. The number could be due to several factors, including potential liability following the #MeToo movement," Challenger said, referencing the social media movement to raise awareness of sexual harassment and assault in the workplace.
In addition, 58 percent of companies with holiday parties have addressed the #MeToo movement with their staff this year and 33 percent will address or have done before the party.
"Other reasons for fewer holiday parties could include that a company's workforce is primarily remote and it's too difficult to gather for a holiday party, or perhaps companies are having parties at other times of the year. However, the fact that nearly 60 percent of companies that are having parties have real concerns about inappropriate behavior shows that HR departments nationwide are responding to this particular issue," Challenger said.
On the other hand, companies with holiday parties plan to spend more.
Nearly 25 percent of companies plan to increase their party budget compared with the previous high of 38 percent in 2007.
And no companies plan to budget less than the previous year, which is the lowest since 2012.
"The cost savings associated with corporate tax cuts may be used toward the party budget this year," said Challenger. "The holiday party should be a time to celebrate the accomplishments of your workers as well as unite and gather as a team. Hopefully, for companies that are not having holiday get-togethers this year, they have other ways to recognize their people, so crucial to building morale and a positive culture."
Date Published: December 17, 2018