In the past, people have done a lot of their charitable giving at work, through campaigns like the United Way and the Combined Federal Campaign. But as the nature of work changes—and employees often work from home—the nature of workplace giving has changed as well, according to a new report from Giving USA, and not in a good way.
The United Way and the Combined Federal Campaign (the giving program for federal employees) are the two largest workplace giving programs, and both have reported declines in donations for years, says the Giving USA report, “Evolution of Workplace Giving.”
Contributions to United Way Worldwide in 2016 were less than two-thirds of contributions received in 1990. Likewise, 2017 pledges to the Combined Federal Campaign fell nearly 40 percent to $101 million, down from $167 million in 2016, said Giving USA. Since peaking at $283 million in pledges in 2009, the campaign has seen a steady drop in contributions.
The increase in the use of technology and alternative working arrangements are trends that partly curtail employee giving. Employees lose the more intimate connection with co-workers and their companies because they are removed from the work environment, said Giving USA’s report. That loss of connection makes them less inclined to give to workplace campaigns.
Giving USA, a nonprofit research and educational organization, has developed recommendations for increasing workplace donations and noted some best practices in its report.
United Way chapters are creating programs to reach out to younger generations by allowing donors to have more control over their contributions, which deepens their engagement.
Younger workers in particular want to have control over the contributions of time and money that they give to charities and want to see the results of their giving. Allowing workers to make their own choices about where a company directs funds is one of the ways employers have been adapting in recent years.
Employers can also boost the chances of successful giving campaigns by considering the needs of the charitable organizations they like so they can identify opportunities for meaningful volunteer work. Many younger workers would rather donate time than money.
For instance, skills-based volunteer opportunities can be developed for employees to dedicate their professional skills or expertise to help a nonprofit with its strategy, marketing plan, or human resource policies, the report said.
Employers should take the social interests of employees into consideration when deciding which charitable organizations to support, which, in turn, will generate more interest from potential donors.