Company holiday parties: good or bad?

by Sheila Wyatt on November 15, 2010

I’ve been thinking quite a bit lately about company holiday parties.  Before our most recent economic downturn, it was not unusual for small and large businesses to have elaborate holiday parties.  Many of us can recall the parties of the 90’s, when it was not unusual for companies to have banquet dinners, entertainment and open bars.  But there just seems to be something wrong with continuing that tradition, based on the current economy.  Especially if yours is a company that has had to cut back on staff or salary increases.  While I understand that a holiday party may be a great way to boost employee morale during stressful times, perhaps there are other ways to let employees know how much you value them, and to do it more frequently than once a year.  But that’s a totally separate topic.

This year I would encourage companies to consider, instead of having a holiday party, holding a charity drive.  Find a local charity to make donations to, in the way of food, clothing and toys.  Set aside a day or half-a-day where the company employees get together to do some sort of community service.  Ask the employees for suggestions of organizations or causes that they would like to see supported.

If, however, you find yourself  already committed to providing employees with some sort of holiday celebration, consider these alternatives.  Instead of a company dinner at an expensive restaurant, where employees bring a guest or spouse, replace that event with a luncheon for employees only.  Instead of using a caterer, have the event be potluck.  And if you are still planning to have a holiday dinner, here are some tips that you should keep in mind.

  • Make party attendance voluntary.
  • Instead of calling it a holiday party (remember, not everybody celebrates Christmas!), have it be an end-of-the-year party.
  • Choose the party location wisely, making sure that it is not viewed as sexist.
  • Review your liability insurance issues, as most don’t cover alcohol-related incidents.
  • Do not provide an open bar; distribute tickets to control drink availability.
  • Hire a taxi service or provide other alternative transportation for persons who have too much to drink.

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