Beyond the Buzzword: Why Employee Resource Groups Are Business Essentials, Not Perks

A 15-Second Reason to Keep Reading

Imagine uprooting your life—new country, unfamiliar culture, and a family navigating uncharted emotional terrain. You’re building a business, but at the same time, your teenager is grappling with their gender identity, and health struggles within your family add another layer of uncertainty. You’re holding it together, but something feels off. Isolation creeps in. Who do you turn to?

Now, imagine that same scenario, but this time, you have a built-in support system—a community that understands, that listens, that helps you process challenges while keeping you engaged and moving forward.

That’s what Employee Resource Groups (ERGs) do for your workplace. And yet, too many leaders still see them as a “nice-to-have” rather than a strategic necessity.

A Personal Lesson in the Power of Community

When I moved countries to launch AliceSkills.com, I expected the usual hurdles—business regulations, networking, cultural adaptation. What I didn’t anticipate was the emotional weight of it all. My teenager was facing a gender identity crisis, questioning everything about themselves in an unfamiliar place. At the same time, family health issues piled on, leaving me juggling between personal and professional responsibilities.

I didn’t just need a mentor. I needed a community—people who had been through similar experiences, who could offer guidance, support, and even just a moment of understanding. I found that in professional networks, in small business owner groups, in people who didn’t just offer advice but stood with me in the messiness of it all.

That’s when I realized something powerful: the workplace is no different. Employees don’t just show up for a paycheck; they bring their whole selves—challenges, identities, aspirations, and struggles. When companies create spaces where employees can connect in meaningful ways, they’re not indulging a whim. They’re unlocking engagement, collaboration, and retention at levels no salary bump alone can match.

Why ERGs Are a Business Strategy, Not a Perk

Far from being a “fancy caprice,” ERGs play a critical role in talent development, collaboration, and cost-efficient retention strategies. Here’s why:

1. They Fuel Talent Development

ERGs create informal mentoring ecosystems. Whether it’s young professionals learning from experienced colleagues or underrepresented employees gaining access to leadership insights, these groups cultivate growth from within. In turn, organizations don’t just fill roles—they build future leaders.

2. They Drive Real Collaboration

Too often, companies rely on forced team-building exercises to spark innovation. But real collaboration happens organically—when people trust each other, when they feel safe to share ideas, and when they know their perspectives matter. ERGs provide that foundation, making it easier for cross-functional teamwork to thrive.

3. They Keep Talent—and Costs—in Check

Replacing an employee is expensive—estimates suggest it costs up to twice an employee’s salary to replace them. People don’t leave jobs; they leave environments that don’t support them. ERGs increase job satisfaction, engagement, and a sense of belonging—all factors that reduce turnover and keep hiring costs in control.

A Call to Action for Leaders

Employers who still dismiss ERGs as unnecessary extras are missing the bigger picture. Just like I learned in my own journey, community isn’t a luxury—it’s a lifeline. And in the workplace, it’s a strategic advantage.

So, if you want a workforce that’s engaged, innovative, and invested in your company’s success, support your ERGs. They’re not just good for employees—they’re good for business.

Aliceskills.com is the workplace excellence partner you are looking for to transform your company culture.