It’s Christmas time-the time for gifts, parties, and Christmas bonuses.
Well, at least for some. A recent survey shows that this year, less than half of the employee in Canada will receive a holiday bonus this Christmas. Holiday bonuses are usually signs of credence and appreciation in light of the holidays; the lack of it is deemed as a sign of continued frigidity of Canada’s corporate world.
The year-end bonus
Turkeys and gold coins-these were the signs of appreciation in the corporate world in Canada a few decades back. Employers would turkeys for their employee’s Christmas feast, and in time, these turkeys turned to cash and cheques in the bank industry. Since then, the holiday bonus is a tradition perpetuated among different industries today.
The lack of the year-end bonus in Canada for Christmas
The survey targeted different companies all over Canada, and results show only 42% of Canadian employers plan to have year-end bonuses for their employees this year. The survey done was commissioned by Robert Half’s staffing and recruitment firm, and the survey displayed rather negative results for those expecting holiday bonuses in the transportation and construction sector in Canada. Only 28 % can be expected of employers to hand out holiday bonuses for the construction sector, and 25% for the transportation industry.
However, some companies in Canada, despite the frigid corporate climate, continue to utilize holiday bonuses as means of keeping their employees happy and motivated.
For those in manufacture and wholesale, the survey presented information that those belonging to the sector have significant chances of receiving holiday pay. 72 % of manufacturing plans to provide a holiday bonus for their employees. For retail, holiday bonuses for m=employees are under 41 %, 47% for finance, and 58% for wholesalers.
Amount reduction and raises
The sums for the holiday bonuses are expected to remain the same as of last year. Among the 271 chief financial officers interviewed in the survey 8% plan to raise holiday bonus rates and 12 % plan to cut it completely.
An increase in expected for wealth management workers for aiding the boost of profits. Due to a decrease in M&A activity, investment bankers could see smaller bonuses as well.
In the banking industry, a reduction has been in the holiday’s planned payouts. Some banks, like The Big Six Canadian, plan to pay $10.8 billion in incentive compensation this year. The amount is 5 % more than 2012 but ultimately, the amount is at its lowest since 2010.