‘Bah, humbug!’ Could employee apathy mean curtains for the traditional holiday party?
The office holiday party may be on borrowed time thanks to all you Grinches.
According to research from credit card marketer Capital on Tap, nearly 9 in 10 employees in the U.K. would rather receive some other benefit than attend another forced-fun company celebration, with more than half preferring a straight up cash bonus. Among the other popular alternatives: time off or a gift card.
For employers navigating squeezed budgets and growing apathy on the part of the workforce, the findings present both a challenge and an opportunity: how to foster more valued, genuine connections without relying on traditions that no longer resonate.
The study, based on a survey of 2,000 U.K. employees, reveals that while company socials remain somewhat popular — with nearly half of staffers agreeing they are important for fostering a positive work culture — the format and frequency of such events warrant recalibration.
The data also suggests a stark generational divide. More than one-third of Gen Z employees worry about being judged for not attending socials, versus 30% of boomers. Meanwhile, nearly half of millennials say they’d show up for more events if they happened during office hours — suggesting that the timeworn after-work drinks model is out of step with the emergent workforce.
“Company celebrations should be centered around connection, not just extravagance,” says Alex Miles, COO at Capital on Tap. “By spending thoughtfully, planning inclusively and keeping control of your finances, businesses can create memorable moments that reward hard work while staying financially smart.”
While nearly 8 in 10 employees believe company socials to be generally inclusive, the research uncovers some blind spots. Just two-thirds feel such events accommodate introverts, while nearly one-third say they don’t accommodate neurodivergent workers.
Alcohol is a dealbreaker for some. About 1 in 5 employees list pubs, bars and traditionally spirits-fueled events among their least preferred venues. By contrast, smaller, more frequent gatherings like coffee catch-ups and family-friendly events are among those increasingly valued.
The implications of getting company events wrong extend beyond just disappointed staffers — they can also drain company finances at a time of economic unknowns. According to gov.uk, employers may earmark nearly $200 yearly per employee on events without triggering tax liabilities. Exceed that threshold and the entire amount then becomes taxable. That means a $261-per-head event could balloon to nearly $500 once personal income taxes and national insurance charges apply.
“To protect your business, create a simple policy for staff socials and expenses,” Miles advises. “Ensure it’s applied consistently, covers what’s included and reinforces [tax authority] compliance. Always invite all employees, record every expense, and account for travel or accommodation in your total cost.”
Noting that employers can be “notoriously bad gifters” — tending toward the coffee mug or t-shirt sporting the company logo variety — employees would rather receive something they can truly use, like a gift card, an experience-based gift or a self-care option, says Mei-joy Foster, vp of talent management at gift card marketer Blackhawk Network, pointing to its own research.
Not everybody is down on the year-end shindig. “The workplace holiday party is back,” declares ezCater, a food tech platform used by companies like FedEx, CarGurus and T-Mobile, in its 2025 Workplace Holiday Party Trends Report. It reports that 4 in 5 employees plan to attend this year’s celebrations, up from 70% last year, while about half of companies plan to increase their party budgets. The study was based on a national survey of more than 1,000 employees and 600 workplace party planners.
As Robert Kaskel, VP of people at ezCater, puts it, “The workplace holiday party is critical for strengthening team connection and morale, especially for hybrid and remote teams.”
For companies sticking with the holiday party, loosening the purse strings might make for happier employees. A study by event planner Avital Food & Drink Experiences finds that employers investing $200 or more per person on holiday gatherings report higher satisfaction scores than companies that cheap out.
“When teams feel seen and celebrated, they don’t just have fun,” said founder Avital Ungar, “they build connections that last well beyond the holiday season.”