“It’s a permanent change”: New research examines the impact of the labor market on nonprofits

Earlier this month, the Nonprofit Center released new research looking at how changes in the labor market and Florida’s new minimum wage law are affecting nonprofits. In briefings we held with nonprofits and government and philanthropic grant-makers, the Nonprofit Center heard from organizations about the significant impacts they are already experiencing.

Nonprofits, especially those providing direct services to vulnerable individuals and families, are experiencing extraordinary pressure on their capacity to meet vital needs. And these disruptions are not a temporary stressor, but instead are permanent structural changes.

From having to shut down programs due to lack of staffing to developing innovative solutions to recruiting and training, now is the time to think about how to strengthen the most important form of capital that our sector has: The change-makers who work inside of organizations every day.

 –> Download the white paper with recommendations and other data here. 

We encourage you to share it with your boards, colleagues, and others in your network who are seeking a greater understanding of the impact of the labor market and Florida’s new minimum wage on nonprofit organizations and the individuals that we serve. 

A few key themes that emerged from events with funding partners and the nonprofit sector included:

• The need and case for general operating support has never been more vital.
• There is a desire for the Nonprofit Center to help nonprofit leaders engage in generative conversations with their funding partners and board members around this topic. 
• The level of fatigue, including compassion fatigue, in the sector is unprecedented.
• There are untapped opportunities for collaboration in areas such as service delivery and talent development and recruitment.
• Continued conversations are needed with government and philanthropic funders to address these challenges.

 Watch a recording of the November 3 briefing here.

The Nonprofit Center is committed to continuing these conversations, and we will continue to share additional information and updates. In the meantime, don’t forget to utilize some of the resources available to member organizations, including the Job Bank and the 2020 Compensation & Benefits Report.