New report reveals many US workers will spend the holidays with financial strain
Employees in the United States are entering the holiday season with financial strain, underscoring the need for employers to extend various means of assistance to ease their workforce's financial worries.
About two in three employees believe that it's harder to afford holiday expenses this year, according to findings from Resume Templates.
"It's not unusual for people to feel financial pressure during the holidays, but this year the stress seems even higher," said Julia Toothacre, chief career strategist at Resume Templates, in a statement.
"The deeper issue is that full-time employment no longer guarantees financial stability. Wages aren't keeping pace with costs, and many people are being forced to find extra income just to maintain a basic standard of living."
More holiday work accepted
According to the report, nearly half of employees (46%) plan to work more hours for their employer to earn extra income for holiday-related costs. Others said they plan to take on other jobs, such as:
- Delivery services (33%)
- Seasonal jobs (30%)
- Ride-sharing (23%)
- Freelancing (23%)
- Social media influencing (16%)
Toothacre warned that taking on additional work can put employees' wellbeing at risk.
"Overworking can quickly lead to burnout, fatigue, and declining performance in both their main job and side work," she said.
How can employers help
Offering bonuses is one of the direct ways employers can help in easing their workforce's financial woes.
"Providing a year-end bonus or a monetary gift is a great way to recognise employees' hard work and dedication. It will help employees with their own holiday expenses and create a positive, lasting impression," said staffing firm Arbor Associates on its website.
Data from HR provider Gusto revealed that average bonuses awarded in December 2024 reached $2,503, up slightly from $2,447 in the previous year, CNBC reported.
Another way to offer support for employees is by reminding them about employee assistance programmes, according to Arbor Associates.
"Offering an employee assistance programme that provides support for mental health, financial counselling, or legal services can be a valuable resource during this time," it said. "It demonstrates an understanding of the diverse needs and challenges that employees may encounter during the holidays."
The staffing firm added that other measures to support employees during the holiday season include extra time off and personalised gifts.
"By providing one or all of these benefits, employers can create a workplace where employees feel valued, motivated, and connected," it said.
"These gestures not only contribute to a positive work environment but also foster loyalty and productivity, ensuring that employees start the new year with a sense of fulfilment and enthusiasm."
