1. June 2011
CSRinsights
presented by
International Workplace Giving
Rise of international giving creates new expectations and examinations
Global companies are actively seeking out solutions for their international work forces. The interest
is wide-spread and consistent. Yet, to date, the demand for such an offering has yet to be
adequately supplied. Even the most progressive, charitable, and supportive companies ask for a
commonly (and widely) accepted product that brings about an equal solution, for all employees,
throughout the world. It’s not unreasonable to think that, by now, technology would have been able
to deliver this. However, the accepted conclusion tells us otherwise. We mention this for one
simple reason: the challenge is real and we are working with our clients, partners, and enthusiast
to find the most reliable, comprehensive, and secure global solution – all in our effort to develop
global good!
After all “developing global good” is not just a marketing catch-phrase. It expresses YourCause’s 3 Data Security and Personal Information
purpose to influence corporate philanthropy beyond national borders and help deliver assistance to
international charities. For this reason, we make it our priority to explain why and how a CSR Not all countries have data security and handling requirements similar to the U.S. Therefore, data
strategy should consider expanding charitable options to international workplace giving. capture, display, handling, and reporting of employee information must adhere to the local
requirements set forth by an organization‟s internal data security team. The differences in
The Business Case requirements between countries will impact any global program from the way employees access a
system, to how collaboration and sharing take place, including how all reporting and tracking can be
Due to resources and information via technology, awareness of global issues is now more performed. Typically, the inherent restrictions of a global program can delay a rollout. Thus, the
accessible than ever, resulting in a rise of international giving. In fact, giving to international affairs following items are important to keep in mind:
rose 15.3% in 2010 and was the largest increase of any subsector, according to the recently
released Giving USA‟s 2011 report. 1) Involve the global security team as soon as possible. Clearly understand all security
restrictions and requirements currently in place and how all programs are in compliance.
What does this mean for workplace giving? It means that donors who think globally are shaping
the expectations of current and future employee giving programs. In fact, companies cite that an 2) Obtain all program ideas and have it reviewed by the legal team before executing any plans.
increase in employee participation is the main business case for a change. Therefore, 37% of This should include all communications, reporting, vetting, and feature plans for the program.
major U.S. companies plan to increase their funding focus on international issues and causes,
according to Committee Encouraging Corporate Philanthropy (CECP) 2010 Philanthropy Agenda. 3) Include the technical team handling the employee HR file into your plans as soon as possible.
Often times, global programs require internal technical teams to collaborate to produce the
In the end, expanding to international giving programs benefit employees, communities and required HR files.
companies. It shows that the company responds to employee‟s philanthropic preferences,
increases participation and creates the perfect opportunity to promote the expanded global
campaign. 4 Cultural Differences
Challenges to Prepare for Cultural and language differences raise challenges for multinational companies wanting to create
meaningful global community involvement programs. Therefore, a company should consider
1 Ensuring Equality and Equivalency amongst all Programs and Nonprofits structuring a global team to handle global responsibilities, but also, incorporate regional
administrators as experts on a given region/country/environment. Simply put, “think globally, act
Over the past decade, many of the CSR programs (which are now considered to be fairly mature) locally.” Consider giving regional administrators autonomy in managing the activities that fit their
were built within the headquarters home country, and most often times, focused on that market. For specific social norms. The challenge of efficiently centralizing a multi-lingual global program, while
countries such as the United States, the use of the 501(c)3 classification system became the maintaining flexibility to give regional offices autonomy is not insignificant.
cornerstone for evaluating the total number of non-profits eligible for participation, the types of giving
that would be made available, what support would be reciprocated, and how an employee could Some key points to remember:
engage.
1) The U.S. non-profit structure (501c3) is not present internationally, so the options available
As the program extends beyond the U.S. borders, finding balance (and equality) amongst all outside the U.S. will be far less. Communicating this to employees is essential.
employees becomes ever so challenging, as companies are now needing to understand three
important elements: 2) Empower your regional/local leads to submit a listing of the „preferred organizations‟ for their
region and use this information as a foundation for your international giving and volunteering
1) The international vetting requirements and 501(c)3 equivalency for each country. capabilities.
2) Flow of funds from payroll systems, global cost centers, banking locations, etc. 3) Seek out and fully understand which U.S. based non-profits are supporting international
causes. You can compliment your internationally vetted organizations with domestic 501(c)3
3) The overall investment necessary to replicate the U.S. model and align with employee usage. organizations to help achieve the same objectives – faster and less expensively.
2 Vetting Organizations in Other Countries 5 Listen and Most Importantly, Respond
An organization‟s liability for charitable giving took a strong precautionary turn after the events of The rollout of a company-wide (and supported) international program may be a new concept to
September 11th – when congress implemented the Executive Order 13224 and USA Patriot Act to many. Some are sure to embrace it; others may very well dismiss it. For those that embrace it, a
prohibit financial transactions affiliated with terrorism. Today, companies are responsible for high level of activity, participation and excitement usually follows because the expansive program
verifying that grantee organizations do not appear on any terrorist watch list, for both domestic and naturally offers more options. Often, these excited employees will be your best resource for guiding
international organizations. Companies face the challenge of evaluating each nonprofit, which has the future direction of your program, offering suggestions, input, criticisms, and guidance on the
resulted in a demand for efficiencies in vetting organizations at high volume. items they are most interested in seeing.
For international organizations, the non-profit organization, GlobalGiving, emerged as the global As you gather this input, here are a few key items to keep in mind:
leader in due diligence, ensuring that all international nonprofits are in full compliance after passing
security policies and a three-stage document review. A few key points to remember: 1) Provide a method for employees to submit their ideas and suggestions. This could be for a
new charity, a new idea, a language change, etc. Something as simple as an email box that
1) Consult the legal team to gain a full understanding of the organizations vetting requirements. is actually responded to goes a long ways.
Understand the differences between 501(c)3 vs. international organizations.
2) Not everybody needs to receive a rapid response to their email inquire, but not receiving a
2) Gain a full understanding of the organizations acceptance of donor advised funds. response at all is the best way to lose an engaged employee. Acknowledgement of an
What requirements are in place and what actions must be taken? inquiry is key, beyond any auto-responses in place.
3) Synchronize the budget of your program with the vision of your global reach (how many 3) Let the program users know that you are listening. Communicate the feedback you are
international organizations will need to be vetting) and the timing and upkeep of your vetting receiving back to all employees, completing the communication loop. Remember, all users
requirements. Vetting can become expensive, so planning is key. are the best resource for program vision and direction.
Contact: Amy Chait | Market Development | achait@yourcause.com