Many contractors are experiencing a lower dollar volume of business. That means less money coming in the door to pay overhead, so the smart contractors have cut back on overhead spending.
If you are in that boat, have you prepared your employees for the fact that bonuses (if any) may be reduced or completely eliminated this year? You can’t do less business and still have money to dole out bonuses, picnics, Christmas parties, etc. They may not like it, but this is about business, not employees (or owner’s) likes or dislikes. Sometimes survival is more important, and if your business doesn’t survive, there won’t be any jobs, either. If money is tighter this year, you can’t provide things that you have in the past.
Be very careful, gang. Check with your attorney if you decide to cut back on a benefit that you have provided in the past. An unhappy employee can file a grievance with your state employment board and cause you some serious problems if you don’t handle it correctly.