Corporate Philanthropy Guide: Overview, Benefits, & Examples

What is Corporate Philanthropy?

Corporate Philanthropy reflects a company’s strategic commitment to creating meaningful social impact that benefits their employees and the nonprofit community around them. This includes enabling employee giving and volunteering, distributing grants to nonprofit or community scholarship funds, supporting disaster relief, as well as sponsoring nonprofit galas or community events. Corporate Philanthropy is a powerful way for companies to align values with action and build stronger, more engaged workplaces in the process.

By investing in these efforts, companies not only contribute to the greater good, but they cultivate a more engaged workforce. Employees feel empowered when they can support causes they care about through workplace programs, communities, and philanthropic activities. Corporate philanthropy has become a powerful tool for building trust and driving employee satisfaction.

6 Benefits of Investing in a Corporate Philanthropy Program

Implementing a corporate philanthropy strategy offers tangible and intangible benefits for businesses:

   1. Enhanced Brand Reputation

Companies that demonstrate a commitment to social causes tend to be regarded positively by consumers, employees, and investors. Organizations engaged in philanthropic activities often benefit from increased brand recognition, enhanced customer loyalty, and favorable media attention.

   2. Improved Employee Engagement and Retention

Implementing a comprehensive corporate social responsibility program that incorporates philanthropy through giving, volunteering, and grantmaking enables employees to develop a sense of purpose, thereby increasing their engagement with the company’s mission. This approach has been shown to reduce employee turnover by 50%.

   3. Stronger Community Relationships

Remote work has become more prevalent, and many companies participate in philanthropic activities in communities where there are clusters of employees, such as headquarter locations. These efforts can help establish relationships and maintain the company’s reputation in various communities.

   4. Talent Attraction and Retention

Organizations that are guided by a clear purpose tend to attract younger individuals who place a high value on principles and meaningful outcomes. According to the Best Practices Institute, research has shown 64% of employees within purpose-driven organizations indicate greater levels of job satisfaction.

   5. Strategic Business Alignment

Companies often align their philanthropic initiatives with their business. For instance, a technology firm may direct its charitable efforts toward STEM-focused organizations and activities, while a food service company might concentrate its programs on nonprofits dedicated to addressing food insecurity. Establishing alignment between a company’s core business and its philanthropic objectives provides clarity and focus for the organization’s charitable initiatives.

   6. Tax Advantages

Corporate foundations and giving funds can offer financial benefits when structured strategically. Donor advised funds provide immediate tax deductions up to 60% of AGI for cash contributions and 30% for appreciated assets.

Corporate Philanthropy Examples

• Wells Fargo – Community Giving Program

Wells Fargo empowers employees to contribute to the causes they care about throughout. They rely on volunteers on the ground and their “Employee Impact Teams” to coordinate community efforts across multiple causes. With over 240,000 employees across multiple countries, Wells Fargo relies on volunteers on the ground and their ‘Employee Impact Teams’ to coordinate community impact efforts effectively. Their Employee Impact Teams (EITs) coordinate local volunteer events and manage incentive programs like Cause Cards and Community Care Grants, which collectively channel over $20 million annually through CSRconnect.

• Liberty Bank- Volunteer Engagement

The bank’s mission is centered on enhancing the lives of its customers, teammates, and communities. Through its charitable foundation, teammate volunteerism, and corporate sponsorships, Liberty Bank invests significantly in the community. Liberty Bank achieved a 100% employee volunteer engagement rate in 2024, contributing 15,928 volunteer hours and granting $2,071,056 to local nonprofits that year. Greater Houston Community Foundation – Turnkey Giving Solutions

GHCF helps companies establish corporate giving funds, scholarship programs, and disaster relief initiatives, minimizing administrative burden while maximizing social impact. Their partnership with Wells Fargo has been highlighted as a model for aligning local philanthropic priorities with broader corporate goals.

• General Mills- Global Volunteering and Sustainability Programs

Think Global Volunteer Local is a General Mills companywide celebration of volunteerism and sustainability that takes place in April of each year. Donna Svendsen, Assistant Director of General Mills Foundation said, “We hope the program will grow to the point where all our locations participate and at least 20% of employees are engaged. In addition, our plans include adding more types of volunteering such as family friendly projects and developing more skills-based projects that employees and teams can participate in throughout the month to have an even greater impact in our local communities”.