Does United Parcel Service Provide Christmas Bonuses?

Providing Christmas bonuses to employees for their contributions and hard work is a celebratory tradition that has been working to improve employer-employee relationships across all levels of management for decades and there isn’t a more fitting example in global MNCs than UPS. UPS has been offering Christmas bonuses since 1914 when it first gave out $10 gift certificates to its employees. Over the past century, the procedures of paying out bonuses have gone through an obvious change, thanks to technology, but the intentions have mostly remained the same ever since. Let’s learn about ‘Does United Parcel Service Provide Christmas Bonuses?’.

Does United Parcel Service Provide Christmas Bonuses?

Does United Parcel Service Provide Christmas Bonuses?

Yes, United Parcel Service does reward its employees with Christmas bonuses. Employers offer seasonal bonuses with the intention of appreciation and respect for their employees who work tirelessly 5 or 6 days every week to keep the company operations afloat and running. Seasonal bonuses uplift company respect, strengthen employer-employee or company-employee ties, create positive working morale within the company, and lead to the spreading of positive word-of-mouth and public image of the company.

Christmas bonuses provided by UPS

A Christmas bonus is a customary extra payment or gift, often given to employees by their employers around the Christmas holiday season. The tradition of giving bonuses at Christmas has its roots in the Middle Ages when wealthy landowners would give their servants a “Christmas box” filled with gifts and money.

Today, many companies offer their employees a Christmas bonus as a way of thanking them for their hard work throughout the year. In some cases, the amount of the bonus may be based on how well the employee performed in comparison to others in the company.

UPS is one company that traditionally offers its employees a Christmas bonus. In 2017, UPS announced that it would be giving all of its employees a $1,000 cash bonus as part of its ongoing efforts to invest in its workforce. 

Christmas bonuses offered by UPS are a way for the company to show its employees appreciation for their hard work throughout the year. In addition to the standard bonus, UPS also offers additional incentives such as stock options and awards ceremonies. 

Amount of bonuses for each Employee

The company has continued this tradition ever since, and today its Christmas bonus program is one of the largest in the United States. In 2017, UPS paid more than $200 million in bonus amounts to its employees. 

The size or amount of Christmas bonuses given out by UPS depends on several factors, including position within the company and length of service of each employee. Bonuses typically range from a few hundred dollars to several thousand dollars. Employees who have worked for UPS for many years can receive six-figure payouts.  

In addition to cash bonuses, UPS also offers a range of other perks to its employees. These include health insurance, 401(k) plans, and paid time off. 

Which employees receive the Christmas Bonuses? 

At UPS, Christmas bonuses are paid out to both part-time and full-time employees. To be eligible for the bonus, employees must have worked at UPS for at least one year as of October 31 of that year. The amount of the bonus varies each year but is typically a percentage of an employee’s annual salary.

In contrast, FedEx does not traditionally offer Christmas bonuses to its employees. Rather, it offers a variety of other perks and benefits like health insurance plans and tuition reimbursement. 

Christmas bonuses are typically paid out by the company’s CEO or other top executives and can be anywhere from a few hundred dollars to a few thousand dollars. 

Since 2014 however, UPS has had its fair share of struggles in generating more than optimum profits, which is why the size of these bonuses has slightly shrank. 

Nonetheless, for many employees at UPS, Christmas is still a time when they receive a little extra financial help from their employer.

Benefits of providing Christmas Bonuses to Employees

UPS has a long-standing tradition of providing Christmas bonuses to its employees. The company believes that the bonuses are a way of thanking employees for their all-around hard work and efforts throughout the calendar year. In addition, UPS believes that the bonuses help to create a sense of team spirit, coordination, and camaraderie among employees. 

First and foremost, Christmas bonuses help to motivate employees. They provide a tangible reminder that the company appreciates the hard work employees put in throughout the year. This sense of appreciation has the potential to generate long-term benefits in terms of enhancing employee morale and motivation.

Second, Christmas bonuses help to keep employees engaged and invested in their work. When employees feel appreciated by their employer, they are more likely to be motivated to do their best work and stay with the company for the long haul.

Finally, Christmas bonuses serve as a valuable recruiting tool. Top talent is always in high demand, and companies that offer competitive bonus packages have a better chance of retaining and attracting top talent.

In short, there are many benefits to providing Christmas bonuses to employees. And UPS is wise to continue this longstanding tradition.”


UPS started in 1907 as a small delivery business but by the end of 1920 had its first among many expansions outside of Seattle into California. The potential of expansion however was realized about 6 years earlier when UPS initiated its bonus allowance program which would go on to become an everlasting tradition for the company. Bonuses serve a significant purpose, they encourage workers and employees to be productive and accountable for their responsibilities and make them contribute towards the collective progress of themselves and the company. It’s among the most employee-friendly approaches that aim to maintain a healthy workplace structural balance.

Does United Parcel Service Provide Christmas Bonuses?

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