Published December 2, 2022
As pandemic concerns recede to probably their lowest point since lockdowns began in early 2020, companies are ready to celebrate in-person with their teams. According to new survey results from global outplacement and business and executive coaching firm Challenger, Gray & Christmas, Inc., 56.9% of companies report they are having in-person holiday parties this year, up from 26.6% who reported this last year and just 5.3% who held in-person parties in 2020.
Another nearly 2% will hold virtual events this year, down from 7% in 2021 and 17% in 2020. Nearly 6% of companies reported they held in-person gatherings outside, during warm weather this year in lieu of holding year-end celebrations.
Source: Challenger, Gray & Christmas, Inc. ©
The new findings are from a survey conducted online in October and November among 252 U.S.-based companies of various sizes and industries nationwide. Challenger has tracked employers’ holiday party plans since 2004.
Related: In-Person Parties Stage a Small Comeback in 2021, but 22% Still Unsure How to Celebrate Year-End
COVID Modifications
Of the companies who are holding in-person events, 4% will modify their events due to COVID. Half of those companies are still not sure what the modifications will be, while 30% will encourage hand washing and hygiene, and a quarter of companies will limit the number of attendees. No one will require masks or hold the event outside.
Though the vast majority of companies are partying this year, it lags the percentage of companies who held year-end celebrations pre-pandemic. In 2019, nearly 75% of companies held a party, up from 65% in 2018. The last time fewer than 65% of companies reported they would hold a year-end celebration was in 2009, when 62% of employers held parties. Including the virtual and outdoor events, 64.3% of companies report they are celebrating with their teams this year.
Companies Ready to Spend More on Celebrations
Regarding budgets, 37% are maintaining their party budgets, while 6% reported they are spending less this year. Despite reported fears of an economic slowdown, 16% are spending more on employer celebrations this year.
With those budgets, more companies plan to hire an outside vendor/caterer and serve alcohol than even before the pandemic.
Source: Challenger, Gray & Christmas, Inc. ©
“Employers know their teams are battling burnout, may be on the verge of quiet quitting, or are leaving their positions all together,” said Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas, Inc.
“The holiday party has always been a way for companies to show their teams they value them. Creating a space for employees to have fun together bolsters morale and connection to their employers and their work, so it really is an important retention and leadership tool for employers,” he added.
The New Hybrid Workplace
Indeed, employers may need to create this space to gather employees since many of them are not gathering on a regular basis in the office. In the most recent survey, 17% of employers report all their workers are back in the office, down from 26% who reported this last year. Meanwhile, 45% of employers report their employees are on a hybrid schedule, which can often mean workers are not in-person with coworkers on the same days.
Source: Challenger, Gray & Christmas, Inc. ©
“Managers are very much focused about retention of talent, though concerns about a slowing economy have certainly impacted hiring decisions for 2023,” said Challenger.
How’s Hiring
In fact, many fewer employers report they expect to add worker in 2022 compared to 2021. Nearly 39% of companies expect to continue to add workers in 2023 compared to 63% who said they did in 2021. Another 17% report demand is soft, compared to 2% the prior year. Another 18% report current uncertainty makes it difficult to predict hiring for the New Year.
Meanwhile, more companies report a decline in business conditions. Nearly a quarter of companies report business conditions have improved as we enter 2023, compared to 56% who reported this at the end of 2021. Another 27% report conditions are worse than last year.
Source: Challenger, Gray & Christmas, Inc. ©
Not all sectors are celebrating. The Technology industry has announced over 80,000 job cuts through November 2022, up 366% from the same period last year. Technology companies make up just under 10% of all respondents to Challenger’s survey. Of those, less than a quarter of companies will hold a holiday party, while another 29% have yet to make a determination. Another 17% cited economic conditions as the reason to hold off celebrating.
SURVEY DEMOGRAPHICS
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Some Companies Are Ditching the Holiday Party. Others Are Busting Out the Lobster.
By Ray A. Smith
published on Dec. 2, 2022
From formal banquets in fancy hotels to team talent shows at the office, this year 57% of U.S. companies surveyed said they are holding holiday parties this season—more than double last year and up from 5% in 2020, according to Challenger, Gray & Christmas Inc., an outplacement and executive-coaching firm that conducted the research.
Renewing a year-end tradition, companies are throwing holiday parties again to bring employees back together
published on DEC 5 2022
After two years of Covid-related cancellations and the desire of many companies to bring remote workers back together, the office party is staging a comeback. About 42% of companies say they are planning an in-person holiday party this year, up from just 13% a year ago, according to a survey by Challenger, Gray & Christmas. “Companies that are announcing parties clearly want people to attend,” said Andrew Challenger, senior vice president at Challenger, Gray & Christmas. With many employees still working remotely or in a hybrid situation, companies are eager to give people a way to connect. “Having these types of camaraderie-building events is a really valuable way companies can start to lure people back in,” he added.
7 Tips for Throwing A Remote Holiday Party Your Whole Team Will Enjoy
By Gerri Detweiler
Published on Dec 5, 2022
The company holiday party is making a comeback, according to new research by outplacement firm Challenger, Gray & Christmas. The 2022 Holiday Party Survey report found that 56.9% of companies report they will be holding in-person holiday parties this year, while 2% of those surveyed will hold virtual events. “The holiday party has always been a way for companies to show their teams they value them,” says Andrew Challenger, senior vice president of Challenger, Gray & Christmas. “Creating a space for employees to have fun together bolsters morale and connection to their employers and their work, so it really is an important retention and leadership tool for employers,” he added.
CFOs budget to party like it’s 2009
by Maura Webber Sadovi
published on Dec. 5, 2022
While the majority of companies will serve up some seasonal cheer at holiday office parties this year, the share of companies preparing to party is hovering just under a pre–pandemic low last seen in 2009, according to the findings of a Challenger Gray & Christmas survey. … “Companies are willing to spend on their workers this year and get them together in-person for the holidays, but they are expecting tough times ahead, certainly,” according to an emailed statement to CFO Dive from a spokesperson for Challenger, a global outplacement and business and executive coaching firm. … “The holiday party has always been a way for companies to show their teams they value them. Creating a space for employees to have fun together bolsters morale and connection to their employers and their work, so it really is an important retention and leadership tool for employers,” Andrew Challenger, senior vice president of Challenger, said in a statement, noting that employers are cognizant that their teams are wrestling with burnout and may be on the verge of quitting.
Who Is—and Isn’t—Getting a Holiday Bonus This Year
By Ray A. Smith
published on Dec. 9, 2022
Fewer companies will award year-end bonuses this year compared with last year, according to a survey from Challenger, Gray & Christmas Inc., an outplacement and executive-coaching firm. Of 252 U.S.-based companies across a range of sectors, 27% said they wouldn’t award bonuses this year, compared with 23% in 2021. Of companies awarding year-end bonuses, more than 80% said the dollar value would be roughly equal to last year. The results reflect the uncertainty and mixed signals about the economy and the job market this year, said Andy Challenger, senior vice president at the firm. “It’s pretty clear that employers are concerned about potential recession across lots of different industries and having to cut back on compensation and benefits,” he said. At the same time, while the job market has started to show initial signs of cooling, overall it’s still quite strong. “The labor market hasn’t crashed,” Mr. Challenger said. “Some companies are still struggling to attract people, and they’re having to pay. Part of that is a function of inflation as well.”
Published on December 10, 2022
Holiday party plans wax and wane with the labor market, according to Andy Challenger, senior vice president of Challenger, Gray & Christmas, which has surveyed firms on their end-of-year celebrations for nearly 20 years. Despite the economic storm clouds, few companies are going virtual with celebrations this year, Challenger said, with the majority opting for in-person events for the first time since 2019. The number of firms planning to serve alcohol is the highest since the company started tracking holiday party planning, Challenger said. At a time of heightened tension over return-to-office policies, many companies are eager to use holiday parties as a way to highlight the virtues of being in person, Challenger said. Executives he spoke with seemed particularly hopeful about the chance to connect with Generation Z employees, some of whom have never attended an in-person office celebration before. “We see companies spend money on their parties when they want to invest in their culture,” Challenger said. “They’re trying to sell the idea of coming back to the office again.”
What To Do if You Embarrass Yourself at the Work Christmas Party
BY
Published on December 17, 2022
According to a survey by executive outplacement firm Challenger, Gray & Christmas, 42 percent of companies are planning an in-person party to celebrate the holidays. This is a significant increase on the 13 percent that held similar festivities in 2021 and points towards a gradual return to normality for workers everywhere.
Download Challenger's 2022 Holiday Party Survey
