Will it stay or will it go?

In this economic turmoil we find ourselves in, there has been much speculation about how charitable companies will be in 2009. Many companies are scaling back their work force, reducing (or freezing) all expenses not deemed critical to doing business, reducing hours, and seeking many different ways to trim the fat. So, what will be the fate of the CSR programs and sustainability initiatives that have just begun to take hold? I think the answer may actually surprise you...

Nationally: A recent article in the Washington Post detailed how they followed stock prices of public companies that have been rated for their sustainability and CSR functions from February 11, 2008 - February 10, 2009. The goal was to look for any performance differences between companies that ranked high vs. low for CSR activities. The premise was that companies that don't do a lot can cut their 'unnecessary' expenses (i.e. charitable giving) easier than those that make CSR a priority, and would therefore fare better in economic turmoil. Not so fast! Turns out it was fairly even (CSR winners performed slightly better, actually). The article goes on to talk about what companies that ranked at the bottom are now doing even though the economy is tanking.

Locally: I sit on the Board of Directors for Rebuilding Together of the Triangle, a non-profit that helps low income homeowners stay in their home through modifications and improvements that address health, safety, and wellness. We have the good fortune of hearing from some local corporate citizens looking for an opportunity to bring their employees together for a volunteer event. They've set aside a pretty nice donation for 2009 for one or more projects. We're talking with more than one company about this very topic, and are expecting a surprisingly busy year. I'm not saying this will be a record year, but not bad for being in the middle of a recession. Isn't it interesting that these companies are viewing this as a way to improve employee morale while also giving back to the community?

So, what is the lesson learned so far? Companies are seeing the value in corporate social responsibility - beyond just some good PR. It helps build teams, improves morale when employees need it the most, and says a lot about the values of the company. Nothing like a crisis to bring people together and remind us of what is really important.