Employee Resource Group | Meaning

Employee Resource Group, popularly known as ERG, is the voluntary engagement of the employees to form a social circle based on different characteristics such as perspectives, interests, identities, goals, or values. The Employee Resource Groups, also known as affinity groups, have the main purpose of strengthening and deepening bonds and relationships in the workplace and nurturing the sense of belongingness. It also has the role of promoting both professional and personal growth, which in turn builds an entire community based on mutual respect and understanding.

In the 1960s, the concept of Employee Resource Groups was first used to strengthen the workers’ voices. While the basic idea remains the same, the definition has taken an interesting turn with the Employee Resource Groups emphasizing general demographic groups like a Latino ERG or other specific groups such as veterans, single parents, and several others. 

Why should ERG be given importance?

Relationships are built naturally. On top of that, ERG provides another community level, such as bringing like-minded individuals close to advocate and support each other and share concerns with the senior leadership or management. 

Individuals can also be recruited belonging to a specific ERG to encourage togetherness within the group. ERGs are also known to boost engagement, demographic diversity, and morale and decrease attrition rates. 

Support of ERGs by the HR leaders

  • To be fair, the HR leaders can put forward ERG by-laws applicable equally to every ERG.
  • The ERG should be transparent. The goals and identity of the group should be identified for success and growth, discarding stagnation.
  • There should be an inclusive culture for those who want to join an ERG for personal reasons.
  • There should be unity among the employees facilitated by seamless networking between ERG and encouraging connections by organizing recreational activities.
  • A leader should represent every ERG.