The majority of organisations (60 percent) will still provide a Christmas party for their staff this year despite the recession.

New findings from the Chartered Institute of Personnel and Development’s (CIPD) Annual Reward Management Survey 2008 highlight the importance of rewarding employees during difficult times. The initial findings of the survey, which will be presented in its entirety at the CIPD’s Annual Reward Conference on 3-4 February 2009, show that private services sector companies are still the keenest to embrace the Christmas festivities with the vast majority (77 percent) still likely to provide a Christmas party or lunch this year (a small shift from 84 percent in 2007).

The survey highlights all differences between organisation sizes:
• Eighty-two percent of organisations with up to 49 staff will offer a Christmas party or lunch;
• Seventy-four percent of organisations employing between 50 and 249 employees provide a Christmas party or lunch;
• Almost 60 percent of organisations employing between 250 and 999 employees offer a Christmas party or lunch;
• Nearly 42 percent of organisations with 1000-4999 employees provide a Christmas party;
• Thirty-seven percent of organisations employing 5000 people and more are likely to throw a Christmas party or lunch this year.

Charles Cotton, CIPD Reward Adviser, says: "As ever, employers need to think about why they are providing a Christmas party in the first place. If it is to recognise the collective contribution of their employees, then what are the alternatives and are they more effective? If holding a Christmas party is the most effective way of achieving this, then employers should be wary about scrapping them in response to the economic downturn because the long term impact could be damaging on employee engagement and organisational performance. As reward becomes ever more individual, the Christmas party is one way of reminding staff that they are part of a common endeavour. "