How much should you spend on a colleague? Your guide to workplace gift etiquette

It’s that time of year again: the season of giving. Yes, even in the workplace. While holiday gifts can offer a bonding opportunity with colleagues, they can also be tricky to navigate.

It can be challenging to say no to joining in on your office’s secret Santa tradition. And with rising anxiety over Christmas gifting fuelled by social media – on platforms like TikTok, where users are showcasing their #SecretSanta blunders, including disappointingly inexpensive gifts, secondhand items or even expired food – the pressure to select the right gift for a co-worker can feel higher than ever.

Nobody should feel pressured to buy a gift for someone they work with, experts agree.Credit: Getty Images

Throw in colleagues who are changing jobs or retiring at the end of the year, and the etiquette around workplace gifts can be overwhelming. So, we’ve asked experts for their best workplace gifting advice.

Do we need to buy holiday gifts for our colleagues?

Although Christmas is a special occasion for many, Elizabeth Soós, founder and coach at Auersmont College of Etiquette and Protocol in Melbourne, notes it is an ordinary day for some people. Many Australians do not celebrate Christmas due to religious or cultural affiliations, she says, and this should be respected.

Soós says corporate gift-giving has changed recently due to high living costs, increasing remote work, and Australia’s diverse workforce. Colleagues may also avoid traditional celebrations due to limited finances, negative past experiences or a desire to eschew consumerism, she adds.

Whichever your situation, Soós says gift exchanges should always remain optional. “Employees should never feel obligated or embarrassed for opting out.”

How much should you spend?

If you decide you’d like to buy something for a coworker, it’s the thought that counts. Gifts should be exchanged sincerely and within budget, with a contribution of $10 to $30 per person, says Soós.

According to The Salvation Army, 72 per cent of Australians will be more mindful of Christmas spending this year. Due to the rising cost of living, almost half will reduce gifts for their children and loved ones.

Amanda King, director of the Australian Finishing School for Etiquette Training and Certification, promotes inclusivity without obligation. “Keep [gifts] modest and considerate, ensuring they are appropriate for the professional environment,” she says.

This includes steering clear of items such as lingerie, personal care products and perfume, or gifts related to religion or politics. King says a box of chocolates is a perfectly acceptable option.

What about farewell gifts?

Contributing to a colleague’s farewell gift is a kind and supportive gesture, King says. “It fosters a sense of camaraderie and marks the transition of a colleague in a positive way.”

Zarife Hardy, director of the Australian School of Etiquette, says that while it is not essential to contribute to every occasion, it can be worthwhile to pitch in for colleagues’ gifts in your department or team. And while there is no fixed price, a modest budget typically ranges from $10 to $30.

Still, Hardy says, the cost of a farewell gift varies according to several factors, like your relationship with the employee, your workplace culture and your budget. Another worthy consideration is the reason for departure, whether a new job opportunity or retirement, which may justify a higher amount, depending on the person and their employment history.

For a personal gift, she suggests a budget of $15 to $25. The amount can be higher for closer colleagues. However, Hardy advises against excessive spending, which she says can create pressure and perceived favouritism, leading to resentment and jealousy.

Feeling obliged to participate in office farewell gifts, especially if you are not very close to a colleague – or don’t particularly like them – can also be a cause of discomfort, Soós says.

In these predicaments, Soós recommends taking an approach that keeps people’s contributions to a group gift as private as possible. This way, participation remains voluntary. “In my experience, this approach [creates] a more genuine and comfortable environment,” she says.

What should you buy for someone you work with?

Once you’ve decided to organise a gift for someone in your workplace, and how much to spend, the next issue to address is what exactly to buy them.

Hardy believes “a heartfelt handwritten card expressing gratitude or well wishes can be both meaningful and appreciated without monetary cost”. Other gift ideas she endorses include desk decor, a plant, a frame, gourmet coffee or tea, chocolates, candles, a gift card or a personalised item.

When shopping for a coworker, look to buy quality over quantity, experts say.Credit: iStock

Catherine Blackford, director of Melbourne-based corporate gift service Bindle, emphasises quality over quantity: “Gifts should reinforce a feeling of appreciation.”

She suggests colleagues purchase a high-quality gift that the recipient can use, rather than giving multiple smaller gifts that may become unnecessary waste.

Most importantly, Blackford recommends creating a memorable experience.

“First impressions last,” she says, noting that beautiful wrapping always makes a difference.

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