The ROI of Corporate Skills-Based Volunteering (With Examples)

Skills-based volunteering (SBV) – where employees donate their professional skills to impact organizations – is rapidly growing as a corporate citizenship strategy​. A strong business case underpins this growth: studies worldwide show that SBV drives tangible ROI through improved employee retention, higher performance, and stronger teams​. Below, we explore key impact areas and evidence, followed by an ROI calculation formula and qualitative insights for executive buy-in.

Impact on Employee Recruitment, Retention, and Loyalty

Research consistently links SBV to higher employee loyalty and lower turnover. Retaining talent yields major cost savings, since replacing a single employee can cost 90–200% of their annual salary​. Key findings include:

• Dramatic Turnover Reductions: Purpose-driven companies experience retention rates up to 40% higher than peers​ according to pointsoflight.org. A 2022 study found 52% lower turnover among new hires who participate in company “purpose” programs (volunteering, CSR)​. Broadly, companies investing in CSR (including volunteering) have cut annual staff turnover by as much as 25–50%​, translating to huge savings in recruitment and training costs. In a Harvard evaluation of one program, 100% of participants said the experience increased their likelihood of staying until they retire at their sponsoring company. Benevity’s engagement study found turnover dropped 57% in employee groups deeply involved in volunteering and giving​.

• Higher Loyalty: Cone Communications reports 83% of millennials would be more loyal to a company that helps them contribute to social causes​. What is the benefit of loyalty? The more loyal an employee is, the higher they performance, the more effort they put into collaboration, the more they recruit others, and the more likely they are to stay.

• Lower Recruitment Costs: If SBV improves the company’s employer brand, it can lower recruiting costs. You might quantify this by noting increased referral hires or a higher offer acceptance rates among applicants who value CSR.​ For example, Cone Communications found 64% of Millennials won’t even take a job at a company with poor CSR – meaning a strong SBV program helps attract talent, reducing vacancy times and recruitment expenses (which you can estimate in dollars). 

📈 ROI Implication 📈

Impact on Employee Skills and Performance

Skills-based volunteering doubles as a talent development engine, improving employees’ capabilities, engagement, and productivity. Studies show volunteering employees gain technical and leadership skills that carry over to their jobs​, often leading to better performance:

• Enhanced Professional Skills: According to Deloitte’s global survey, 92% of business leaders agree that volunteering improves employees’ professional and leadership skills​. In fact, 80% said active volunteers move more easily into leadership roles at work​. SBV projects provide “stretch” experiences – 90% of companies report significant improvement in leadership abilities as a result of pro bono/SBV programs​. For example, UPS’s volunteer ROI study found 23% of participants gained significant job-related skills, with one manager noting it let them demonstrate new organizational and leadership skills on a big project. In our programs at MovingWorlds, over 90% of participants report that they further developed their subject-matter expertise through skills-based volunteering. 

• Higher Engagement & Productivity: Volunteerism boosts morale and engagement, which correlates with productivity gains. 96% of companies report that employees who volunteer are more engaged at work than those who don’t​. This engagement translates into performance – engaged employees are more productive and invested in their company’s success. A comprehensive review found CSR initiatives can increase employee productivity by up to 13%​. Moreover, company-sponsored volunteering also improves workplace well-being and mood, which can reduce burnout and absenteeism (79% of people report lower stress after volunteering)​. 

• Mental Health and Presenteeism Boosts: Among 90+ workplace programs studied across 233 organizations, skills-based volunteering was the ONLY intervention that showed positive results for employee well-being. Other interventions like training, events, coaching, mindfulness have ZERO impact in these areas.

• Measured Performance Improvements: A global study by ESADE found 92% of employees who volunteer through work improve their job performance, as rated by themselves or managers​. The top areas of growth were teamwork (87% improved) and understanding of social/cultural realities (81% improved)​. Communication skills also rose (68%), indicating well-rounded development​. Notably, even hard business metrics can improve: one survey noted companies offering volunteer time see employees with 75% longer tenures and 13% higher performance ratings on average​.

📈 ROI Implication 📈

There are two ways to calculate this:

Impact on Team Effectiveness and Cross-Cultural Collaboration

Skills-based volunteering often places employees in team-based, cross-cultural environments that improve their collaboration, leadership, and cultural agility. The experience of solving problems together outside the office can significantly enhance team dynamics back at work:

• Stronger Team Cohesion: Many companies leverage volunteering to build more unified teams. In one international survey, 63% of companies said a primary goal of corporate volunteering is to increase internal team cohesion, and 45% aimed to improve the overall internal climate or culture​. Working toward a meaningful goal helps colleagues bond beyond their usual roles. Deloitte’s research similarly found 70% of employees believe that companies who sponsor volunteer activities have a more pleasant and cooperative work atmosphere​. Employees report stronger relationships and improved teamwork after volunteering together on a project.

• Leadership and Collaboration in Diverse Settings: SBV programs often immerse employees in unfamiliar, cross-cultural contexts that broaden their perspectives. In practice, volunteers learn to communicate and solve problems with people of different backgrounds, a competency that directly improves cross-department and cross-border teamwork within their companies.

• Case – Hewlett-Packard (HP) Morale Boost: At HP, employees who engaged in skills-based volunteer projects reported 59% higher morale than non-volunteers, and even 13% higher morale than those doing not skills-based volunteering. Higher morale often leads to better team engagement and cooperation. Additionally, 84% of companies say volunteering aligns employees more strongly with the company’s culture and values​ – a shared sense of purpose that can enhance how teams collaborate and perform.

📈 ROI Implication 📈

ROI Calculation Formula for SBV Programs

To quantify the return on a skills-based volunteering program, CSR leaders can use a formula that compares the program’s benefits to its costs. A basic ROI equation is:

ROI (%) = ((Total Monetary Benefits) – (Program Costs)) / (Program Costs) × 100%.

In the context of SBV, Total Monetary Benefits can include:

• Retention Savings: Calculate the number of employees whose retention can be attributed to the volunteering program and multiply by the average replacement cost per employee. Or, as shown above, make assumptions based on lengthened tenure.

  • Example: If 100 employees stay, on average, 20 months longer, assuming $95,000 average salary, 100% cost of replacement, and 8% cost of capital, that is a bottom-line benefit of $1,182,174

• Productivity Gains: If employee engagement surveys or output metrics show productivity improved (say by 5%) for volunteers, estimate the value of that increased output. 

  • Example: A 5% productivity bump for 100 people who average $200,000 in productivity as measured by revenue per employee, equals a value of $1,000,000

• Talent Development Value: Consider the cost of training or leadership development that is offset by on-the-job learning through SBV. For instance, leadership training that might cost $2,500 per person can be considered a saving if those skills are gained via volunteering. Similarly, improved skills (communication, project management, etc.) can be linked to performance improvements or reduced errors, which have monetary value.

  • Example: Providing 100 employees a learning and development experience for $500 via a skills-based volunteering experience instead of  $2,500 L&D experience, equals a value of $200,000.

After summing the benefits, divide by the program’s cost (staff time managing the program, opportunity cost of employees’ time, paying a provider to manage the program, software costs, etc.). The result is an ROI ratio or percentage. For instance, if the calculated benefits are $2,432,174 (based on the examples above) and the costs are $500,000, the ROI = ($2,432,174 – $500,000) / $500,000 = 386%. Meaning for every dollar spent, your company will recognize almost $4 in benefits. And if you scale the program up, since many costs are fixed, this ROI story will only improve.

But the financial benefit isn’t the only story to tell.

Qualitative Benefits and Executive Buy-In

While the formula captures quantifiable ROI, it’s crucial to highlight qualitative benefits of skills-based volunteering when making the case to leadership. These programs have transformative effects on employees and culture that numbers alone may not fully convey:

• Leadership Pipeline and Innovation: SBV programs often turn good employees into exceptional leaders. Participants return with broadened perspectives, creative problem-solving abilities, and renewed passion for their work. In our experience at MovingWorlds, many alumni have advanced into global leadership roles, crediting their volunteer experience for honing their skills. Sharing such success stories of employees who grew via SBV (and drove new innovation or business value for the company) can strongly resonate with executives focused on talent development. As we share in our SAP case study, the leadership benefits of these programs are second to none. 

• Culture and Values Alignment: Volunteering reinforces a purpose-driven culture. Employees frequently report feeling more connected to the company’s mission after engaging in community service. UPS’s volunteering case study noted that 59% of employees said volunteering was a core component or one of the most positive influences on their overall job satisfaction​. This kind of deep alignment of values can lead to a more motivated, mission-focused workforce. Executives will appreciate how SBV builds a positive employer brand from within – something not easily replicated by competitors.

• Cross-Cultural Competence and Team Agility: In global companies, having teams that excel at cross-cultural collaboration is a strategic asset. Stories from international volunteering assignments – employees navigating challenges in a foreign country, working with diverse teams – can illustrate growth in cultural intelligence and adaptability. For instance, a Johnson & Johnson global pro bono program study found participants became more adept at leading diverse teams and more committed to the company’s global health vision after their assignments​. Such outcomes improve how teams operate across markets. Paint the picture for executives that SBV is creating employees who are global citizens and ambassadors for the company’s values, which in turn improves global teamwork and market insight.

• Community and Reputation Impact: Finally, remind leaders that ROI isn’t just internal. High-profile skills-based volunteering initiatives earn public goodwill, media attention, and stakeholder trust. They demonstrate that the company “walks the talk” on social responsibility. This can indirectly lead to customer preference and brand loyalty – difficult to quantify, but extremely valuable. For example, our program with SAP was featured by the World Economic Forum during its annual meeting.

In summary

combining hard numbers with compelling narratives makes the strongest case. Use the quantitative ROI formula to show fiscal alignment – e.g. “Our program delivered a 380% ROI last year, primarily by reducing turnover costs” – and bolster it with qualitative evidence of workforce improvements, team successes, and brand-building moments born from the program. This two-pronged approach addresses the head and the heart: the metrics satisfy the analytical scrutiny, while the human stories and strategic benefits inspire confidence and enthusiasm.

By highlighting global research and concrete case studies alongside a clear ROI model, CSR leaders can persuasively demonstrate that skills-based volunteering is not just a “nice to have” feel-good activity, but a high-impact investment with multifaceted returns for the business and society​ at large.

The CSR trends are clear: even in a tightening economy, companies that embrace SBV are seeing engaged employees, stronger teams, and real bottom-line benefits – positioning themselves for sustainable success in a purpose-driven world.

Ready to translate these proven benefits into real impact at your company? Let’s design a skills-based volunteering program that fuels talent development, strengthens teams, and drives business value—while making a difference in the world. Get in touch with MovingWorlds to explore what’s possible.

AI disclaimer: Following our AI Ethics policy, we disclose when we use AI. This post was written with the help of an AI chatbot that we trained with our research, brand voice, and other rules. The content strategy was first written by MovingWorlds, as was an initial list of data. We then used AI to final supplemental research, which we fact checked. The ROI calculation was developed by a real human at MovingWorlds.