ERG Meaning: What Are Employee Resource Groups and Why Do They Matter?

By DeVry University

December 11, 2025

6 min read

ERGs, or employee resource groups, have been around for decades in businesses and other organizations. Though ERGs are supported by the organization, they are employee-led and focus on shared coworker interests or experiences.

For business leaders, aspiring managers, MBA students, and other professionals, understanding the definition of ERG and how an ERG works is fundamental to navigating the workplace. Learn why these groups are important, how they are beneficial to coworkers and future workplace leaders, the 5 steps to starting a group, and the difference between an ERG and a union.

What is an ERG?

An employee resource group is an employee-led workplace collective that focuses on professional, people, and culture interests such as:

Business: Role-based (e.g., women in tech), young professionals, sales, or finance
Culture: Religion, spirituality, or language
Identity: Gender, orientation, ethnicity, parenting, or military service
Interests: Sustainability, volunteering, community outreach, innovation, hobbies, wellness, or family support

ERGs, also known as affinity groups, help improve workplace culture, create networking opportunities, build community, and more.

Why do employee resource groups matter for workplace culture?

In today’s business environment, employee resource groups help build positive workplace culture by:

Promoting diversity, equity, and inclusion
Creating a pipeline for aspiring leaders
Fostering employee mentorship
Encouraging support and advocacy among coworkers

ERGs might even boost employee engagement and retention as they can help employees feel more connected to each other and the company.

Why MBA students and future leaders should understand ERGs

As a future leader, joining an ERG has many benefits that go far beyond connection and support. MBA candidates and other professionals looking to advance their careers may find that being part of an ERG can boost their leadership potential.

ERG meetings provide an opportunity for MBA students and others to build their networks and hone skills in communication, conflict resolution, and workplace advocacy — all essential soft skills for future leaders.

Whether you’re working, pursuing your education, or both, collaborating with ERGs can have lasting influence. The work of an ERG can positively impact policies and even company culture.

How to start an employee resource group

Forming an ERG and getting it off the ground is a process that takes time. Careful consideration, planning, and nurturing can make all the difference in its success. Here are 5 things to consider when starting an ERG.

1. Find focus and purpose

Start by finding a specific topic for your ERG. Would coworkers be interested in groups for women in tech or sustainability? Ask around or consider doing an employee survey to see what generates the most interest. There is no limit to the number of groups a business can have. The important factor is engagement. When people have a genuine interest in the topic, they are more likely to participate and stay involved in the group.

2. Gain leadership buy-in

Invite participation from members of the executive team or other senior leaders. Their support can increase visibility and legitimacy among employees. It might also foster stronger employee-leader communications, provide resources such as funds for events, and help bring about policy changes that align with company business strategies.

3. Build mission and structure

Design a group charter that outlines mission, goals, and activities the group will undertake, along with the leadership structure for employee participants. A well-defined charter gives the group a strong foundation and defines expectations. It also provides a way to measure success.

4. Recruit participants

Share the details of your ERG groups and invite participation via your employee newsletter or intranet, or by posting flyers around your workplace.

5. Hold a kickoff and establish roles

Get your ERG off to a solid start by inviting people to step into leadership roles, such as taking meeting notes and communicating group news with human resources. Consider if you need someone to be in charge of arranging speakers or coordinating events, based on the group’s mission and goals.

ERGs vs. unions: What’s the difference?

Both ERGs and unions support and advocate for employees, yet there are subtle differences between the two.

ERGs	Unions
Based on shared interests, identity, or experiences	Focused on improving working conditions regardless of members’ ethnicity, orientation, beliefs, or other factors
Exist at a single company	Involve employees within a particular field or industry across companies
No dues collected from participants	Dues collected from members
No legal influence within the company	Money collected is used for the purpose of improving conditions such as healthcare or wages

Explore leadership and professional development at DeVry

The ability to understand and work with different people regardless of cultural background is essential for any leader. Learn the power of ERGs, along with career-centered business skills, right here at DeVry.

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Frequently asked questions

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The information presented here is true and accurate as of the date of publication. DeVry’s programmatic offerings and their accreditations are subject to change. Please refer to the current academic catalog for details.