When Corporate Philanthropy Keeps Staff Happy
- Research shows that firms which align their philanthropy efforts with the values of workers may benefit from lower turnover

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The devastating health, economic and social impacts of the deadly COVID-19 pandemic, which has led to more than 6.5 million fatalities around the world, has created a “new normal” and inspired many people to re-evaluate their lives. Widespread selfless acts of kindness and philanthropic donations have struck a chord with millions of people, who want to embrace a kinder, more altruistic work-life balance. A study found that corporate donations in 2020 accounted for 44 percent – or US$9.4 billion – of the total US$20.2 billion global philanthropic response to the coronavirus disease from businesses, charities, foundations and wealthy individuals.
In September 2022, Yvon Chouinard, the American billionaire founder of the high-end outdoor fashion brand Patagonia, gave away his company to a charitable trust. “Earth is now our only shareholder,” said the rock climbing fanatic Chouinard, 83, who is worth an estimated US$1.2 billion, at the time. Any profits not reinvested in running his business, known for its sustainable practices, will go to fighting climate change.
So it’s appropriate that timely new research by academics, including Anthony Rice, Assistant Professor at The Chinese University of Hong Kong (CUHK) Business School’s Department of Finance, has revealed that companies which increase corporate philanthropy commitments are more likely to retain their highly-skilled staff.
Competitiveness Crucial In ‘War For Talent’
“It is crucial that businesses stay competitive in the ‘war for talent’ by being able to attract, motivate and retain outstanding staff,” says Prof. Rice, who carried out the research with Prof. Christoph Schiller, at Arizona State University. “They increasingly recognise the importance of social values – the positive benefits that businesses create for the economy, communities and society – for attracting and managing talent.”