Some Companies Are Replacing Bonuses With Charitable Donations, And Employees Seem To Love It

Saturday, March 30, 2019

Employees may well prefer a charitable donation made by the company in lieu of a bonus, according to an article in Barron’s. It highlights a recent initiative by Box, the Silicon Valley data storage company, which recently changed its employee recruitment and retention efforts.  Box previously offered its employees bonuses up to $7,000 for referring new hires.  But when Box changed its policy and began offering employees the opportunity to identify a nonprofit that would receive $500 instead, the results were highly positive.  Referrals are up, charitable giving increased “dramatically,” and the company actually saved money