holiday bonus

The Perfect Gift, a Christmas Bonus

Tuesday, December 22nd, 2009 | SPM, bonus | No Comments

In recent years the “Christmas Bonus” has been a species in decline. Once an American staple, it went out of favor for a couple of reasons.

First, you couldn’t call it the Christmas Bonus anymore if you wanted to be politically correct. And unfortunately, “Year End Bonus” or “Holiday Bonus” just doesn’t have the same cache with most of us.

Second, and more importantly, the argument began amongst compensation professionals that an obligatory bonus at the end of the year doesn’t really affect behavior. The goal of compensation is to incent employees’ performance. If they get a bonus every year just for showing up, where’s the motivation?
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