5 Reasons the ROI on Workplace Charitable Giving Benefits in 2021 Will Be Incredible

December 22, 2020
Use cases

The world has changed significantly in 2020. It’s more digitally connected and socially/culturally conscious than ever.

Similarly, our context for building companies has changed. Remote work is here to stay, employees and customers are much more socially-driven, and top-tier talent is increasingly driving business outcomes. Building a great company in 2021 will require different techniques.

Fostering a generous culture through charitable giving programs in your company can engage employees on the most meaningful dimensions, specifically in the 2021 business environment, to drive productivity and retention.

Here are five reasons why investing in generosity as a cultural driver in your company will have an extremely positive return on investment:

1. Inspiration is your company’s most precious resource.

Inspired employees are by far the most productive and creative. A Harvard study estimated that an employee who described themselves as “inspired” by their company was 225% more productive than one who was “satisfied” by their company. Inspiration is a secret weapon to win in the marketplace.

With an increasingly remote work environment and a lot of communication noise in our hyper-connected world, this is much harder to organically achieve yet is entirely possible and invaluable.

Intentionally pursuing giving can cultivate inspiration. In the same Harvard study, it cited the key to creating inspiration is a leader who can connect company activities to the company’s deeper purpose in improving the world. Charitable giving can be a pillar program and a tool to do this.

2. Giving fosters connection in a digitally-driven remote work environment. 

Finding digital means to connect people in the current remote-driven environment is essential. The challenge of connecting people remotely will persist beyond 2020.

It requires intentional effort, but when a company thoughtfully lives up to its core values in remote work, “its culture will transform employees into advocates and enrich their wellbeing.”

Employee to employee bonds are formed around experiences that make them mutually feel good. Giving, as a tool, opens the door for positive shared experiences and can be something that’s both fun and rewarding to participate in. Within Zoom meetings and Slack threads, you can establish enjoyable rituals around giving, which makes everyone feel good. That’s real employee engagement.

3. The “War on Talent” is raging. Charitable Giving gives employees reasons to buy into your company’s long-term purpose, which fosters more retention.

Talent is more strategic to business success than ever, and 86% of workers say they believe it is important their employer is responsible to society and the environment with over half (55%) feeling it is imperative. Additionally:

  • 72% of millennials said a job where they can have an impact was important to their happiness. 
  • 45% would take a pay cut for a job that makes a social or environmental impact.
  • 58% would take a pay cut to work for an organization with values like their own. 
  • 55% said that the company’s “cause work” influenced their decision to accept an offer.

Is your company doing all it can to leverage social purpose to influence retention? Your company’s social impact is a major factor in decisions for talented candidates. Charitable giving can be a concrete way to move retention forward.

4. Customers expect you to make the world better.

Building trust with potential and current customers is about your company’s heart and motivations just as much as it is about the effectiveness of products and services. People want to see evidence or a display of genuine company motivation, not just that you have positive things to say about your intentions for the world. 70% of consumers want to know what the brands they support are doing to address social and environmental issues and 46% pay close attention to a brand’s social responsibility efforts when they buy a product.

Giving can give you meaningful content to build your brand and reinforce the key messages you want to communicate.

5. To grow your influence, you need to be “noteworthy” among your stakeholders.

People want something remarkable to talk about with their friends and colleagues. Being creative and generous are the key ingredients to build incredible relationships by being noteworthy. This helps you attract customers, new employees, key partners, etc. Giving can help you stop selling and start connecting, which can have an incredible impact over time.

Bonus: You won’t regret committing resources to charity.

Unless in the case of fraud, no one regrets using money to help other people. When you commit resources toward charitable giving in your company, you’ll feel great about that allocation afterward. There’s a reason that companies very, very rarely ever unwind a charitable giving program once they launch it. Everyone ends up loving it.

Bringing in charitable giving doesn’t require massive financial or administrative investment anymore, even for small companies.

Formerly, giving was painful to administrate and involved processing matching requests, ensuring charitable compliance, managing charitable payment delivery, and facilitating communication to employees. Today, this can all happen easily with a platform for your company’s giving.

Charityvest for Workplaces automates matching administration, charitable compliance, and gift receipting while simultaneously enabling fundraising, stock donations, and gifts of charitable funds for employees, customers, and partners to give away.

  • Set up optional automatic matches and execute them with zero paperwork.
  • Give employees a stipend to give. The company receives a tax advantage and there is no taxable impact on employees which means more money goes to charity and everyone benefits.
  • We’ll send you a report each month that includes data on engagement, participation, giving amounts, and organizations supported which you can use to reinforce your brand and culture.

We hope that as you continue to understand our mission to increase generosity, you’ll consider using Charityvest to cultivate that spirit within your own company. Learn more about workplace giving with Charityvest and put cultivating generosity in your company on autopilot.

Create your Charityvest giving fund—it's free and takes 90 seconds.

Stephen Kump

Stephen is the chief of promoting generosity @ Charityvest. Former Bain consultant, philanthropic advisor, and military officer. Yale MBA.

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