2020 Year-End Survey: More Companies Offering Bonuses; Hiring for 2021 Unclear
SURVEY: MORE COMPANIES OFFERING BONUSES THIS YEAR; ONE QUARTER ARE UNSURE ABOUT 2021 HIRING
More companies are rewarding their employees with bonuses this year than last year, but are unsure what hiring will be like in 2021, according to survey results released Tuesday from global outplacement and business and executive coaching firm Challenger, Gray & Christmas, Inc.
Last year, 34.9% of companies reported they never offer a year-end bonus, gift, or perk, similar to results since 2017. In 2016, 27% of employers responded they never offer a gift. This year, however, just 19% of employers reported they would not offer a bonus. Another 14% said they provide a bonus at other times during the year.
“The employers who were able to retain their workforces and are, so far, weathering the pandemic recognize the importance of rewarding their teams, despite not being able to predict exactly what will happen next year,” said Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas, Inc.
Through October, U.S.-based employers have announced 2,162,928 job cuts, according to Challenger tracking, the highest number of cuts since the firm began tracking in 1993. Meanwhile, the U.S. economy is still down by 10 million jobs since the pandemic shut down businesses in March and April.
The majority of respondents reported the COVID-19 pandemic has negatively impacted business, as 52.3% reported worse business conditions. Another 17% reported that COVID has not affected business, while the same percentage of respondents said business conditions are mixed.