A nationwide survey of 150 human resources professionals in October revealed that 65% of firms plan to host a holiday party, just a bit more than the 62% who said the same in 2009, Challenger, Gray & Christmas notes in a press release.
The yearly survey also found that almost 27% of companies said that they never host workplace parties, which is the highest percentage since 2004, when the outplacement consultancy firm started conducting such surveys.
“The low number of corporate celebrations does not appear to be due to economic reasons,” says Andrew Challenger, vice president of Challenger, Gray and Christmas. “Companies are sitting on tax savings and generally report a thriving economy.”
The lower level of excitement by employers for holiday parties is not due to the lack of confidence in the economy, as 62% of survey respondents said the economy had done better versus last year. In comparison, 48% of survey respondents in 2017 noted that the economy did better than the previous year.
“We have never seen so many companies report that they never have holiday parties,” Challenger said. “The number could be due to several factors, including potential liability following the #MeToo movement.”
Of the companies moving forward with holiday parties, nearly 58% said they have tackled #MeToo this year with staff, while 33% said they will discuss the issue before kicking off any festivities.
The challenges for companies hosting holiday parties is finding a good balance between keeping staff productive, while creating a fun environment, experts on Forbes Human Resources Council noted. Paycor, an HR and payroll technology firm that caters to small- and mid-sized companies, has for the past two years hosted a “12 Days of Company Cheer.”
“Employees receive something positive each day, be it a tchotchke, treat or note of affirmation,” says Stacey Browning, president and culture keeper at the firm. “Leaders share videos of appreciation for everyone’s hard work during the busy season. These can occur any time of [the] year, but the holiday season is an opportunity to celebrate the work experience we share all year long.”
At Washington state-based Limeade, employers create a spa-like atmosphere at the office with its so-called ‘Refresh Yourself’ campaign. The firm builds software to help companies bolster their workplace culture and to promote employee engagement.
“We’ve offered chair massages, fruit-infused water, yoga and meditation, stretching stations, brain games and ‘Wine Down Wednesday’ happy hours,” says Laura Hamill, chief people officer and chief science officer at Limeade. “The leadership team makes breakfast for the staff and an office decorating contest and ugly sweater competition bring levity and spirit to the office.”
Other companies are trying alternative ways to bring cheer to the workplace without hosting a traditional holiday party. Whether that shift stems from companies being more cost-conscious since the financial crisis or due to more recent concerns of inappropriate behavior that #MeToo spotlighted, firms are finding different ways to celebrate.
“More bad behavior occurs at company holiday parties than at any other time of year,” Mark Kluger, attorney and partner at Fairfield, N.J.-based Kluger Healey, told the Society For Human Resource Management (SHRM). “The combination of the holiday season, pent-up feelings about co-workers and, most importantly, alcohol often lead to uninhibited behavior ranging from sexual harassment to expressions of intolerance.”
Firms can also engage their employees in community service or find that employees don’t mine if they do nothing. One 2016 survey by Dublin, CA-based TriNet found that 73% of employees would rather get a cash bonus, while 51% would opt for extra paid time off between Christmas and New Year’s Day instead of having a holiday party.
Catherine Wragg, senior vice president for HR at TriNet, says holiday parties can create more stress for employees during an already busy time of year if they feel obligated to attend. Her firm provides HR services to small- and mid-sized firms.
“Some employers are noticing this and are opting for low-key employee lunches during business hours or a party in January or [at] another time of year,” Wragg said.