Our latest research shows that six in ten (62%) employees aren’t expecting a Christmas bonus this year. And just one in ten (9%) employees are expecting a larger bonus to celebrate the festive period than they received last year with many coming under increased financial strain.
Financial incentives are vital to boost staff morale, productivity and retention – seven in ten (68%) employees say the prospect of a Christmas bonus keeps them motivated throughout the year boosting business performance.
But bonuses also provide a lifeline to many due to high living costs, 40% admit they couldn’t afford Christmas without it. Clearly, employees need more financial support from their employer.
But are bonuses the most effective way employers can reward and support employees?
There is strong demand amongst employees for ongoing financial support from their employer rather than a one-off bonus at Christmas – in fact, 59% of employees expecting a bonus would prefer year-round support.
Benefits packages are often the most cost-effective approach to effectively reward staff year-round, offering employees the option to personalise the support and perks available to them.
And employees agree! Six in ten (61%) employees who will be getting a Christmas bonus say they would actually prefer a better benefits package instead.
The importance of workplace benefits packages is demonstrated in our recent Employee Benefits Report which revealed that although six in ten (62%) employees agree that company benefits is the most important thing they look for when deciding where to work, over half (55%) think their workplace benefits package is inadequate.
Ongoing financial support delivered through benefits packages is a cost-effective approach for employers to reward staff, keeping them motivated which in turn boosts talent retention, productivity and business growth.
Utilising the latest employee benefits tech
The key to delivering an effective reward strategy lies in technology. Through an intuitive platform such as Zest, HR leaders can boost accessibility, improve employee engagement and streamline the administration process enabling them to adapt the benefits offering at pace. Features such as targeted and automated communication ensures that employees know what’s on offer and can access benefits with ease whilst providing additional insight on employee needs to HR leaders.
Research conducted by independent research agency Opinium which surveyed 2,000 adults weighted to be nationally representative between 5th - 9th December 2025.