Nonprofits face tough choices in poor economy

The second installment of Career Services’ “The State of Things” panel series examined the impact of the current economy on careers in the nonprofit sector yesterday.

In light of the on-going economic recession, numerous nonprofits have had to make difficult decisions about staffing and program cuts due to tighter budget constraints, according to Katherina Rosqueta, executive director of the School of Social Policy and Practice’s Center for High Impact Philanthropy.

Rosqueta was one of three panelists who presented at the event, held in Houston Hall. The other speakers were Nancy Burd, founder and president of the Burd Group, a national consulting firm which specializes in nonprofit management, and Regional Director of the Greater Philadelphia Cultural Alliance Nancy DeLucia.

The panel could not have been more timely, according to Rosqueta.

Director of Career Services Pat Rose attributed the recent shift in hiring preferences exhibited by many nonprofits to funding reductions.

Rose affirmed that nonprofit organizations are now less likely to take on full-time staff members, particularly those who are receiving benefits. Many will opt instead to hire part-time employees.

“This is a good opportunity for someone willing to take an unpaid internship or short-term position to get experience,” Rose said.

“Nonprofits, which provide a safety net for vulnerable people nationwide, are finding themselves trying to help folks where there’s heightened demand at the same time their resources have been cut,” Rosqueta said.

She explained that some nonprofit organizations have begun seeking collaboration with for-profit organizations to “do the most good with the dollars they have.”

She called the increase in collaboration among nonprofit housing agencies and for-profit mortgage servicers and investors “one of the most effective models for foreclosure prevention” and a prime example of such a partnership.

Rosqueta also stressed the importance of acknowledging the differences between nonprofit organizations when forecasting the future of the overall sector.

“Like with business, some segments will take a very long time to bounce back, and others will benefit from the new opportunities provided by the economy,” she said.

Even as Rosqueta acknowledges the challenges nonprofits face today, she remains positive about the direction they are taking.

“The folks who are drawn to the sector are by nature entrepreneurial and optimistic, and there are always opportunities for them,” she said.

Eric Ashton, associate director of the SP2’s Nonprofit/Non-governmental Leadership Program, echoed these sentiments, adding that interest in the program has been growing steadily since its inception.

He said this is an exciting time to work in the nonprofit sector “because baby boomers are going to retire soon, which means CEOs and executives stepping aside and creating a void for the next generation.”

Ashton’s vision of nonprofit development in the coming years also involves tremendous growth and greater cooperation between nonprofits and corporations.

“We’re learning that government can’t solve every problem, and businesses can’t either,” he said. “So we’re seeing a blurring of the sectors where there is corporate social responsibility.”

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