Lack of festivities ‘could hit morale’

ALMOST half of small firms risk damaging staff morale by cutting back on festivities this year because of the state of the economy, according to a new report.

A survey of 500 small companies by communications firm Pitney Bowes showed that 48 per cent were not planning a Christmas party.

Most will spend the same or less on this year’s celebrations, even though most firms realised that their decision could be damaging staff morale.

Phil Hutchison of Pitney Bowes said Christmas is a great time to engage with staff and customers, especially when times are tough, and festive activities need not be expensive.

He suggested that, in place of parties, companies could show their appreciation with flexible working conditions, relaxed dress codes or activities such as festive quizzes.