From the research I have done and the conversations I have had, here are the major factors in the change to workplace giving over the last 15 to 20 years.
- Less Trust (i.e. scandals)
- Expanded opportunities to give elsewhere (internet,
social media) - Diminishing loyalty (by employees towards companies
and companies towards employees) - Greater knowledge of issues (leads to a greater
desire to personally direct donations) - Diversification of workforce (diversified interests
and issues)
These trends have led United Way and other workplace giving programs to move toward donor directed giving to keep employees participating. Would these employees still give to the directed nonprofit on their own, probably if they are that passionate to direct to it.
Based on this, have workplace giving programs then moved from an opportunity to pool resources to tackle some of a community’s most challenging issues to an employee service to help employees with their individual giving? If this is the case, how can companies best structure the employee engagement aspects of their philanthropy and community engagement programs? To me, workplace volunteering is the place to put the emphasis. With volunteering, the company is placing its resources to help its employees be involved directly in issues that are important to them, the community and the company in a way that works for them, Pro-bono, episodic, fundraisers, etc. This helps build awareness of community issues, and greater affinity between the employee, their fellow employees and the company, will leverage the company’s community initiatives (including visibility) and most importantly create meaningful positive impact in the community.
While I think employee giving programs where a majority of the participants direct their gifts is a great service/benefit for employees, the amount of company resources devoted to it should be viewed primarily through this lens and not through the philanthropy lens. To really help the community, unleash the compassion, brainpower and time of employees in a meaningful way that will benefit society in far greater ways.