Your Boss Thinks the Work Christmas Party is a Waste Of Time – Here’s Why it’s Not


Tis the season. But while Christmas is a time for celebration, there are some employers who don’t see the importance of throwing a work Christmas party. Whether budgets are tight or deadlines are looming, there are a few factors that might push an end-of-year bash to the back of your boss’s mind.

To your boss, a Christmas function may be nothing more than a distraction or a large invoice for food and alcohol. But in reality, this annual do offers several benefits for employees and businesses. Here’s why your company should have a Christmas party this year.

They Improve Staff Morale

Christmas parties are a great way to say thank you and reward staff for their hard work. Whether it’s a big-budget party or a smaller event, this acknowledgement makes staff feel valued, boosts morale, and motivates them to keep up the good work. It also gives them something to look forward to throughout the year.

Recognition is an important non-financial reward that is particularly valued by some employees. Having efforts noticed and valued can be a great motivator and encourage employees to stay with an employer.

Better Workplaces Report, Tasmanian Government 2015

They Increase Retention Rates

This improved job satisfaction and loyalty may then lead to increased retention rates. This saves the business staff-turnover expenses including recruiting and training costs, contributing to a healthier bottom line. You can read more about the importance of ’employee experience’ here

They Encourage Team Bonding

Team bonding isn’t just about playing nice. It also has a positive impact on teamwork and performance in the workplace. By learning more about each other, colleagues can better understand each other’s strengths and weaknesses, and work better together on collaborative projects. A strong team dynamic leads to a better workforce and better results.

71% of full-time workers quit their jobs because their work environment doesn’t encourage teamwork.

Ernst & Young, Global Limited

They Build Company Culture

Staff functions are a great opportunity for managers to get involved in team-building activities and establish organisational culture by leading by example. Leading by example is key to enforcing company culture, and the work Christmas party is the perfect chance for employers to ‘walk the walk’ and show their support for rewarding hard work (and for having a bit of fun).

10% of employees would leave their job without their employer even knowing there is a problem.

Chandler Macleod, Leadership in the Age of Disruption

They’re A Great Set-Up for the Year Ahead

Christmas parties are the perfect time to get the team excited for the upcoming year. While everyone is together and in high spirits, this is a great opportunity to make announcements regarding any new goals, strategies, or products.

They’re Tax Deductible

The expenses of a business Christmas party may be tax deductible, providing the Christmas party meets certain conditions. You can learn more about Australia’s policies regarding fringe benefits tax and Christmas parties here.

So if your boss is a bit of an office Grinch, you might just want to discretely share this blog to his Linkedin page.


Better Workplaces: Employer Resource Kit, Tasmanian Government 2015

Global generations: A Global Study on Work-Life Challenges Across Generations, Ernst & Young Global Limited 2015

Leadership in the Age of Disruption: Chandler Macleod, 2017

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