The boss is cashing in — but he’s not sharing his riches
There’s no bonus to being a good employee this year.
“Higher corporate profits, low unemployment, and high economic confidence among employers is not translating to more cash-based year-end bonuses,” concludes a survey of 150 HR execs released Wednesday by global outplacement and executive coaching consultancy Challenger, Gray & Christmas, Inc.
Indeed, while in 2016, just 30% of companies didn’t give year end bonuses or awards of any kind, this year, that number has jumped to 35%. What’s more, while 41% of employers said they were awarding either a company or individual performance-based bonus to workers in 2016, just 39% say they’re doing that this year.
Even if you do get a bonus this year, don’t expect your boss to shell out a bigger pot for you. Just 8% of companies who plan to award a monetary bonus say they will give more this year than last; in 2016, that number was 18%.
These results may reflect that many employers feel uncertain about their futures, even as they have high profits and confidence in the economy. Indeed, a 2017 survey from employment and labor law solutions firm Littler found that uncertainty was a common feeling among the 1,200 people surveyed, thanks to things like new technologies, unpredictability in Washington and new compliance standards in all levels of government http://www.treasuryandrisk.com/2017/05/18/employers-face-unprecedented-uncertainty-survey-fi.
And Andrew Challenger, vice president of Challenger, Gray & Christmas. told Moneyish that: “The current tax plan making its way through the Senate, as well as continued uncertainty surrounding health care, may be making employers skittish on spending.” Still, he concluded that the results were surprising, especially give the tight labor market.
However, there is at least one bright spot in the news. There was a small uptick in the number of employers who will give a non-monetary gift to employees this year like an extra vacation day (16% in 2017 versus 15% in 2016).
Still, the bottom line is this: “It seems, though, that employers are less willing to spread the wealth with their workers despite the positive business environment,” said Challenger in a statement.
© 2017 Dow Jones & Company, Inc. All Rights Reserved