People Powering Change research highlights how corporate philanthropy translates into employee engagement and retention.
Johannesburg, South Africa (17 May 2021) – Nearly half (48%) of South African employees cite their employer’s commitment to corporate philanthropy as a major driver for working for the organisation, a number that rises to 54% among employees aged below 45 years. This is one of the key findings of the Sage Foundation People Powering Change research, which surveyed employees worldwide, including 1,000 in South Africa, to get their view on corporate philanthropy and volunteering.
The research highlights the important role a coherent corporate social investment (CSI) strategy has to play in driving talent acquisition, retention and engagement. Around three quarters (76%) of employees worldwide agreed that a commitment to social philanthropy makes their organisation a more attractive place to work, and as many said, it was a reason to continue working for their employer.
Says Joanne van der Walt, Sage Foundation Promotions Director: “Employees today increasingly want to feel that they’re working for an organisation motivated by a purpose that goes beyond profit. South Africans, and especially the younger members of the population, are looking for a rewarding and meaningful workplace that gives them the opportunity to give something back. At Sage, we believe in corporate philanthropy, and we do this by providing employees with three wellness days a year. We also welcomed 63 young professionals into a graduate programme this financial year, supporting them with life skills, work readiness training, workplace mentorship, and coaching.”
Deeper need at a time of reduced budget
The research also explored how the pandemic has changed philanthropy budgets and approaches around the world. On the upside, 43% of South African respondents said their employer plans to increase its support to the local communities in which it operates in the wake of the virus outbreak. However, COVID will take a toll on CSI budgets at a time they’re needed the most.
Almost seven in ten (69%) survey respondents said their organisation had reduced its CSI budget after the pandemic, and only 5% reported that employers increased their CSI budget in response to COVID-19. Two thirds (67%) said progress that has already been made by businesses to embed corporate philanthropy will become slower because of COVID-19.
At a time when the need in local communities is greater than ever, South African businesses can make a real difference by pledging to increase their volunteering offer to employees. There is a willingness to volunteer more often among South African employees who stand ready to help their organisations address the many new challenges communities face in the wake of COVID-19.
Volunteerism – philanthropy in action
Volunteerism is today a cornerstone of corporate philanthropy in South Africa, with most companies giving employees the opportunity to invest some of their working time into causes they care about.
“This is not only about giving back to the community – it’s a way for companies to help teams bond, deliver a meaningful employee experience, and improve their employer brand,” says Van der Walt.
Around 76% of respondents said their companies give employees an opportunity to give back through volunteering. Of those, 90% agreed that these volunteering programmes make a difference to their local communities. Some 60% of those working for companies without volunteering programmes said they would like to see their organisations start one.
“Employees at companies with volunteer days are proud to tell others where they work,” says Van der Walt. “What’s more, letting employees guide charitable efforts and get hands-on with volunteering empowers teams and helps people feel more engaged and connected to the workplace.”
Says Tinyiko Simbine, Co-Founder and CFO of GirlCode: “For GirlCode, the new normal presented a unique opportunity to provide innovative solutions to bridge the digital divide. We were fortunate enough to work with an even more diverse group of volunteers, not only from South Africa but on an international scale. This also helped us run our programmes virtually on a far larger scale, therefore reaching even more of our beneficiaries.”
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