Last Updated on: 12th September 2024, 03:55 pm
Mark Lyttleton is the Founder of Percent for Good, a charity that enables city professionals to gift 1% of their salary to support worthy causes through payroll giving. This article will take a closer look at payroll giving and its key benefits.
Corporate social responsibility (CSR) encourages businesses to be more socially accountable to themselves, their stakeholders and the public. CSR is a self-regulating business model that requires an awareness of how the company impacts various aspects of society, including economic, environmental and social impacts.
Socially responsible companies are accountable to themselves and their stakeholders. The more successful and visible a business is, the greater the onus upon it to set standards of ethical behaviour for its peers, competitors and the wider industry. Actively engaging in CSR encourages businesses to operate in ways that enhance the environment and society rather than having a detrimental impact. Through CSR programs, volunteer efforts and philanthropy, businesses can benefit society while simultaneously boosting their brand presence.
As businesses strive to become more socially and environmentally responsible, payroll giving has emerged as an increasingly popular methodology of supporting CSR initiatives. Providing a unique opportunity for companies and their employees to engage in powerful philanthropic efforts, payroll giving can also go a long way towards boosting employee morale, engagement and satisfaction. From the perspective of the charity, payroll giving can provide a healthy boost in charitable donations, with small, incremental gifts adding up to make a positive impact on organisations and causes.
February 2024 marked Payroll Giving Month, an opportunity to celebrate the incredible impact this flexible and tax-efficient means of giving has for employers and employees alike. Aligning with shared values and empowering support for causes, payroll giving not only has a profound impact in terms of strengthening cohesion and collaboration in the workforce, but benefiting local communities, with every pound making a meaningful difference.
Payroll given enables staff to contribute to charities effortlessly, with payments set up by their employer’s payroll department. Employers decide how much they want to give, as well as having the option of skipping, changing or cancelling donations at any time. With donations automatically deducted from their salary, it offers an easy, hassle-free way of supporting worthy causes and their groundbreaking work.
From an organisational perspective, embracing payroll giving is a powerful statement of corporate social responsibility. In addition, it is also a commitment from each individual employee to make a difference in wider society. Employers who embrace payroll giving crystalise their commitment to CSR, showcasing their dedication to making a positive impact that extends beyond their standard business operations. Supporting worthy charities enhances brand, aligning the company’s reputation with socially responsible practices. This can lead to improved local relations, providing the business and its people with more opportunities to positively affect the development and wellbeing of society as a whole.
Companies known for CSR efforts like payroll giving often present more attractive and exciting opportunities to potential employees. In terms of recruiting and retaining top talent, efforts such as these can play a critical role, particularly when it comes to attracting the next generation of employees and aligning with their strong ethical values and community involvement.
Payroll giving fosters a sense of shared purpose among the workers. In addition, knowing their employer supports charitable causes close to their heart can go a long way towards boosting employee morale and creating an engaged and motivated workforce. This in turn contributes to a positive and collaborative work environment as well as strengthening community ties and contributing to the overall wellbeing of the location the business operates in. Embracing payroll giving enables employers and employees alike to contribute towards creating stronger, more compassionate communities, helping charities to conduct their life enhancing and lifesaving work, providing support to those who need it most.
