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Should Every Company Provide a Christmas Bonus? Episode 129

Niall Boylan | December 19, 2023
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    Should Every Company Provide a Christmas Bonus? Episode 129
    Niall Boylan

Recent trends indicate a decline in the tradition of companies offering Christmas bonuses to their staff. In the past, it was a common practice across various professions to express goodwill and gratitude towards employees for their year-round efforts, supplementing their regular salaries. However, financial constraints have led some companies to abandon this practice.

Today, we delve into the debate on whether Christmas bonuses should be a standard offering. While countries like the Philippines, Greece, Portugal, France, India, and Indonesia have instituted laws mandating end-of-year bonuses, distinctions exist between bonuses for individuals with modest incomes and those tied to employment.

For instance, in Portugal, the “13th month pay” or “holiday bonus” is legally mandated, offering a welcomed year-end benefit. Spain adopts a unique approach, distributing annual pay across 14 installments, with two additional bonuses in July and December. Similarly, Greece provides an extra month’s pay in December, along with half a month’s pay during Easter and the vacation season.

Contrastingly, countries like Austria, Belgium, Cyprus, France, Germany, and Italy negotiate 13th month bonuses based on factors such as tenure, industry, and contract terms.

Perhaps you’re an employer with reservations about Christmas bonuses, or an employee who has experienced the discontinuation of this annual perk. Is it fair for employers not to provide bonuses, or is it reasonable to expect employees to fulfill their roles without anticipating extra incentives?

Join the conversation as we explore the nuances of Christmas bonuses – from cultural practices to the legal landscape. Should there be a legal mandate for Christmas bonuses, or is it a matter of individual company policies and employee expectations? Share your thoughts on whether this tradition should continue in the modern workplace.


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