In today’s purpose-driven world, generosity is more than a virtue. As companies navigate a competitive talent landscape and rising expectations from employees, customers, and investors, one truth is becoming increasingly clear: empowering employees to give and volunteer is good for community impact, but it’s also good for business.

Why Employee Engagement in CSR Matters

More than anything, for businesses to operate well, they need a workforce of talent that are engaged and collaborative. When companies engage employees in giving and volunteering, they deepen the connections between colleagues, and with communities. According to recent research, 7 in 10 employees now expect opportunities for social impact at work. And it’s not just about feeling good—84% of employees report higher job satisfaction when their leaders speak up about critical societal issues.

These expectations are shaping career decisions: 72% of employees are more likely to apply to companies they perceive as socially responsible, and 71% say that a company’s societal impact is a strong expectation, or a deal breaker, when considering a job. Similarly, over half of employees surveyed would consider leaving if their employer’s values didn’t align with their own.

The ROI of Doing Good

The numbers speak for themselves. Organizations that empower employee generosity see tangible returns. For instance, companies with strong employee engagement programs experience a 41% reduction in absenteeism and a 17% increase in productivity. Employees who participate in volunteer programs are also more likely to feel they have opportunities for professional growth (70% vs. 39%) and to develop new skills at work (72% vs. 42%).

At the same time, these programs also foster loyalty: 66% of employees report a greater sense of commitment to their employer as a result of participating in CSR initiatives. In fact, CSR has been shown to reduce staff turnover by 50%, and workplace volunteers are twice as likely to recommend their company to job seekers.

The benefits extend beyond the workforce. A company’s commitment to generosity sends a powerful signal to external stakeholders. When asked whether companies have a responsibility to address societal concerns, 9 out of 10 investors said “yes”, compared to 7 in 10 employees and 6 in 10 consumers. This alignment of internal culture and external perception can drive business growth. Companies that have implemented CSR programs have seen revenue increases of up to 20% and market value gains of 4–6%.

Building a Culture of Generosity

Creating a culture of generosity requires more than a few volunteer days or donation drives. It demands alignment between business strategy, values, and community engagement. Leaders must model civic involvement, and companies should embed giving and volunteering into the fabric of their operations.

This could include:

• Providing paid time off for volunteering

• Supporting skills-based volunteerism

• Offering matching gifts for employee donations

• Educating employees on community needs and nonprofit work

• Encouraging grassroots initiatives through employee resource groups

A Call to Action

With the increasing demand and reliance on donors and volunteers for nonprofits, employee generosity can be a lifeline, especially for smaller charities that are even more vulnerable. For more innovative strategies and practical tips to level up your giving and volunteering initiatives, download our whitepaper on Encouraging Employee Generosity.

Whether you’re a global enterprise or a small business, the path forward is clear: empower your people to give back in ways that reflect their passions and values. In doing so, we can not only strengthen your community but also build a more resilient, engaged, and purpose-driven workforce.