Recession Impacts Local Nonprofits

Recent research on the impact of the recession on Ontario’s nonprofit community service providers shows the need for an integrated government/ charitable funder/ community service provider strategy to protect valuable community services.

The research found that:

  • Many organizations fear for their future
  • More than one-third have already been seriously affected
  • Many ongoing funders will be reducing funding
  • Organizations’ endowment funds have been depleted
  • Businesses are often cancelling their support
  • Service demand for basic needs – food, shelter – are increasing

The study’s authors call for a planned approach to protecting vital community services.

Unfortunately, federal and provincial stimulus funding is now focused directly on job creation, with little or no attention to job retention which, in the community sector, means service retention.  Somehow, community services are expected to “make-do” with less, or raise more from the community (community fundraising is suffering, not growing), or just work harder. 

The recession may be over in GDP terms, but its impact has only begun to be felt.  We are in for a rough ride.

Posted in Community at October 26th, 2009. Trackback URI: trackback

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