Japanese Companies Won’t Cut Gifts

Many Japanese companies operating in the United States say that they will not cut their giving, even if their parent companies face sagging profits in the economic turmoil at home, a new survey has found.

The survey was conducted by the Japan External Trade Organization, a group sponsored by the Japanese government to help improve trade relations between Japan and other countries. It drew responses from 568 American manufacturing divisions of Japanese companies and 235 non-manufacturing divisions.

Among operating units that said that their companies’ profits had dropped, 87 per cent said they would maintain or increase cash giving in the coming year.

In addition, 65 per cent said that their parent company in Japan had “no involvement” in U.S. philanthropy decisions.

The survey also found a surge in the number of companies that encourage their employees to volunteer their time to help charities. Sixty-nine per cent of the operating units said they provide volunteer information to their employees, an increase from 45 per cent in 1995.

For a free copy of “Survey of Corporate Philanthropy at Japanese-Affiliated Operations in the United States — 1998,” contact Hiroyuki Eguchi, Japan External Trade Organization-New York, 1221 Avenue of the Americas, New York 10020; (212) 997-0400.

The survey results are also posted on the trade group’s World-Wide Web site at http://www.jetro.org/joining/index.html