When the unexpected happens – a large-scale disaster or a personal hardship – you can support your workforce financially with a tax-advantaged Emergency Assistance Fund (EAF), also known as an Employee Relief Fund or an Employee Crisis Fund.
No matter the scale or severity of the crisis, employee financial stress hurts companies and their employees. A Federal Reserve study found that employee financial stress costs employers an average of $5,000 per employee, per year, in lost productivity. Serving as a mechanism for employers to focus their corporate social responsibility (CSR) efforts inward on employee needs and wellness, many companies establish these funds to:
Assist employees with financial setbacks such as a medical problems that causes family members to stop working, funeral expenses, an emergency that necessitates travel, or help establishing or re-establish a habitable and safe residence following hurricane, fire, flood, tornado, etc.
Retention skyrockets when employers show workers they care. The Limeade Institute reported that 60% of workers who felt cared for planned to stay for the next three years; 94% felt engaged.
Companies can unobtrusively help employees recover more quickly while employee information remains confidential.
Co-workers are provided an opportunity to help their colleagues and build an internal culture.
Companies can fund an EAF in a variety of ways including setting aside a budget or empowering their employees to donate to the EAF through its workplace giving program. If you don’t have an existing program, your EAF can be the cornerstone for your new CSR or wellness program.
Your EAF program can support your employees wherever they may be - in your office or at home, in-person or remote, located in the US or internationally.
SVP, Corporate Responsibility & Culture - Berkshire Bank
“Thank you for helping Berkshire Bank get our EAF up and running so quickly. It was a super smooth process and the America’s Charities team was great to work with, providing relevant insights that helped us rapidly create a program to meet our employees’ needs today and into the future. America’s Charities is uniquely positioned to support EAFs given its work at the intersection of nonprofits and businesses, as well as the operational efficiency, expertise, and tax benefits partnering with America’s Charities provides businesses. After launching our EAF, Berkshire Bank received a lot of positive feedback from employees who are proud to know that we are doing everything we can to keep them safe, healthy, and financially stable. Thank you again, America’s Charities, for your EAF facilitation and helping make it all happen.”
