The unlikely key to employee engagement

The benefits of having high employee engagement can't be exaggerated – these workers are often top performers, loyal to their employers and continuously work to benefit the entire company. According to a study by Hewitt Research, employers that have 60 to 70 percent of their workforce engaged tend to have higher average total shareholder's return than their counterparts with fewer engaged workers. For businesses, having many employees who are engaged in their jobs and the company as a whole can be a great workforce management goal. Yet many companies may not be taking advantage of one of the best ways to improve employee engagement: corporate philanthropy.

Why volunteering opportunities boost employee engagement
According to an article in Triple Pundit, there is a direct link between philanthropy and employee engagement. Workers who are passionate about their employers are those that will stick around in the long run and be the most engaged members of staff, and having the opportunity to volunteer through the company can improve workers' perception of their employers. The article noted corporate philanthropy can lead to team building, which brings workers together in a common cause outside of the workplace, and gives employees the chance to support causes they care about. 

Human Resource Executive (HRE) Online suggested that volunteerism ends up helping workers have a fresh perspective on the business and boosts their creative abilities. Philanthropy can help improve employees' skill sets, such as communication from volunteering at childcare centers or homeless shelters, resulting in workers' inadvertently receiving professional development. Employees feel as if they are helping others when they volunteer, are building stronger relationships in the workplace through volunteering with co-workers and are developing professionally by improving their soft skills. Because of this, employee satisfaction rises during volunteerism, and, in turn, so does engagement. 

For instance, a study by Net Impact and Rutgers University in 2012 found those workers who feel they make a positive impact on their communities and the environment have satisfaction levels that are double those of workers who don't volunteer. When it comes to volunteering and workforce management, companies may do well to embrace corporate philanthropy initiatives.

Focus on what types of programs fit the company culture
Yet adopting volunteerism in the workplace and encouraging workers to be part of such opportunities isn't always easy. There are many types of philanthropic programs companies can embrace, from partnering with local nonprofits devoted to protecting the environment to working with groups to support the community. According to Forbes, volunteer efforts pay off when employers find the programs that work for them.

Companies should find out which causes are most important to their employees to determine where the business should concentrate its philanthropic efforts. Communication is key here, according to HRE Online, as showcasing the company's commitment to volunteerism and highlighting recent progress can keep workers focused on volunteering and be more engaged in the programs. Business should also determine what the program should achieve internally, such as whether the company wants to improve workers' ability to work as a team, if it is applicable. Many companies choose to center their philanthropic efforts on simply making the community better, which can still improve worker engagement and overall satisfaction with the company.

When it comes to workforce management, businesses need to understand the positive impacts volunteerism has on employee engagement and performance. For companies to truly improve workers' performance and productivity, they need to show to employees that the business values them and their local communities. Businesses shouldn't discount the benefits of corporate philanthropy on worker passion and retention.