The Connection Collective | Why ERG Funding is Your Best Investment in 2025

Hello Trailblazers & Changemakers,

We’re shaking things up with our weekly newsletter! As we step into 2025, we’ve taken some time to reflect on the content we’ve been creating and how we can make it even better for our engaged network. While our Chezie Round-up provided quick insights on what’s happening in the DEI world, we realized we could offer more value to our audience—ERG champions and aficionados—by sharing actionable tips and tricks to boost ERG effectiveness and impact.

And who better to bring you this guidance than one of our founders, Dumebi?

With that, welcome to the inaugural edition of The Connection Collective with Dumebi Egbuna.

Why ERG Funding Matters: A Call to Action for DEI in 2025

In this new year, I’m challenging all companies committed to DEI to back their words with action — and investment. For years, we’ve heard organizations champion diversity, equity, and inclusion as central to their values. But how many are truly putting their money where their mouth is?

Let’s start with a critical question: Are your ERGs (Employee Resource Groups) getting the budget they need to thrive?

The High Price of Pinching Pennies on ERGs

A clear trend is emerging: more companies are increasing ERG funding as their direct impact on business outcomes becomes increasingly clear. From improving employee retention to fostering innovation, ERGs are delivering real, measurable value. The data doesn’t lie: employees engaged in ERGs are more likely to stay at a company, contribute innovative ideas, and foster a culture of belonging that attracts top-tier talent.

The cost of underfunding ERGs, however, is too high to ignore. When ERGs are under-resourced, companies miss out on opportunities to:

• Strengthen organizational culture: A strong culture of inclusion fosters greater employee engagement and satisfaction.

• Attract top talent: Prospective employees increasingly look for companies that demonstrate a genuine commitment to DEI.

• Retain engaged employees: Employees involved in ERGs often have higher levels of commitment and loyalty to their organizations.

Underfunded ERGs lead to missed opportunities, a weaker company culture, and diminished innovation. The ripple effects of insufficient support can result in higher turnover rates, lower employee morale, and a less competitive position in the market.

Show Me the Money: How to Win the Case for More ERG Funding

So, how can you make the case for increased ERG funding within your organization?

1. Gather Data: Start by assessing the current state of your ERGs. Conduct surveys to evaluate member satisfaction and identify resource gaps.

2. Build a Narrative: Use the data to craft a compelling story that highlights the potential benefits of increased investment.

3. Share Success Stories: Reference examples of companies that have seen measurable benefits from well-funded ERGs, such as improved engagement, innovation, or market expansion.

4. Align with Business Goals: Demonstrate how ERG initiatives support broader business objectives, making them a strategic priority rather than a checkbox.

Money Well Spent: Turning Dollars into DEI Impact

Deciding to invest in ERGs is only half the equation; it’s equally important to ensure those funds are allocated effectively. Here are three key areas to prioritize:

1. Leadership Development: ERG leaders are some of the most passionate and engaged employees but are often overlooked when it comes to formal leadership development. Invest in programs that help them hone skills in leadership, communication, and strategy. These efforts can transform today’s ERG leaders into tomorrow’s organizational change-makers and C-suite executives.

2. Engaging Events and Programs: Well-funded, high-impact events are the lifeblood of successful ERGs. These create opportunities for employees to connect, share experiences, and foster community. Whether it’s hosting cultural celebrations, professional development workshops, or bringing in guest speakers, these events cultivate inclusion and belonging, benefiting everyone in the organization.

3. Data-Driven Tools: To demonstrate the ROI of ERG initiatives, companies need access to tools and analytics that track their impact. These platforms can measure key outcomes like employee retention, engagement, and even revenue growth. Data-driven insights help ERG leaders make informed decisions and showcase the tangible value of their efforts.

Put Your Budget Where Your Values Are

Your budget is a reflection of your priorities. If your company truly values inclusion and equity, it’s time to ensure that your ERGs have the resources they need to succeed.

As we step into 2025, let’s commit to funding ERGs not just as a checkbox for DEI initiatives, but as a strategic investment in the future of our organizations. When ERGs thrive, everyone benefits. Let’s make 2025 the year we fully unlock their potential.

Onward and upward,

Dumebi

If you're interested in exploring how Chezie can enhance your Employee Resource Groups (ERGs), I invite you to schedule a demo. We also offers a wealth of resources to support your ERG initiatives:

• ERG Toolkit: Comprehensive guides and templates to help you establish and manage effective ERGs.

• Blue Pages: A collection of articles and thought pieces on best practices for ERGs.

• ERG Leaders Community: Join discussions with ERG and DEI leaders to share experiences and strategies.

Lastly, connect with me on LinkedIn for more insights and updates.