Employers cutting back on Christmas celebrations

Four out of 10 businesses are ditching the traditional Christmas party in a bid to cut costs, according to a study of 2,532 bosses.

The survey for online booking service table7.com found lack of budget, the need to cut corners and recent redundancies are just some of the reasons for cutting back on celebrations, but half of the bosses have yet to break the news to their staff.

And for those who are going ahead with festive celebrations, 44 per cent still intend to cut corners where possible by having a less lavish party than normal.

The study shows this year bosses are more likely to opt for a buffet at lunchtime rather than an expensive evening meal. A fifth of employers are considering taking staff to the local pub at the end of the road rather than a high end restaurant. A further 16 per cent will choose a venue where the price list is lower than usual, while 12 per cent will pay for dinner, but skip all forms of entertainment afterwards.

Four in 10 bosses have considered telling employees they will pay for the food as long as they pay for their own drinks. And one in 10 will provide staff with sparkling wine at dinner rather than splashing out on champagne as usual. Thirteen per cent will have two courses rather than three, and the same percentage will have a set menu to avoid any unexpected costs later in the evening.

The majority of bosses admit the Christmas party is good for staff morale and seventy per cent recognise it plays a part in everyone getting on well. Many said a Christmas party was crucial in showing employees they’re valued and rewarding them for their work, while a third know cutting celebrations will dramatically reduce morale.

More than a third of bosses feared that if they cut the festive celebrations staff would just arrange their own do – and wouldn’t invite them. The Christmas party bill gives one in five companies the January blues as they’re forced to reshuffle finances.