If you are in the nonprofit sector, you join 12.4 million colleagues in a United States sector driven to be effective. You care deeply about others and want to make the world a better place. It is imperative that improving the lives of others follows you each day.
When you work for a nonprofit, you expect hard work and desire opportunities for growth and development. You also constantly engage in cross-functional collaboration with a variety of internal and external stakeholders, such as employees, volunteers, community partners and clients your organization serves. Gratification is self-imposed and is derived beyond the paycheck.
The Current Nonprofit Sector Employee Problem
The National Council of Nonprofits conducted a nationwide survey in 2023, which found that three out of four nonprofits reported job vacancies. About half of the respondents reported they had more vacancies now than before the COVID-19 pandemic.
Nearly three out of four respondents said salary constraints affected the ability to retain and recruit employees, while two-thirds said that budget limitations affected retention and recruitment. The survey noted that another cause for nonprofit workforce shortages included stress and burnout.
Employee shortages in the nonprofit sector resulted in limitations in providing services to those in need. However, external economic pressures caused greater need than ever before.
Another 2023 survey from the Association of Advancement Services Professionals, Lindauer and BWF showed that employee retention is the greatest challenge for the nonprofit sector. Approximately, 46% of those who responded had been considered and/or recruited for a role outside of philanthropy.
Additionally, most employees surveyed still favor remote or hybrid work while some organizations re-emphasize work from the office. Employees also reported not feeling optimistic about career opportunities at their current organization.
The Challenges of Staying in the Nonprofit Sector
Nonprofit consulting firm Graham-Pelton studies why employees leave organizations and what decisions make them stay in the nonprofit sector on an ongoing basis. Results from their continual evaluations include:
- Nonprofits need to continue to focus on employee retention, which can be quite costly and affect other employees.
- The organizational culture must stay consistent as a content employee workforce produces improved organizational results.
- Nonprofits need a strategy to keep career-minded employees in the nonprofit sector.
- Potential employee decision factors are compensation, benefits, continuing education benefits, positive engagement throughout the organization, career progression, sound recruiting and orientation practices, and annual evaluations with incentives.
- Employees must be surveyed, along with attempts to meet their needs.
- Employers must create nonfinancial means to recognize and reward employees.
- An improved communication process plus robust performance management program must be established.
- Employees need to be constantly recognized for their work and be provided flexible working arrangements.
To thrive in the nonprofit sector, individuals need to have flexibility, effective communication skills, passion and persistence. One must understand that the nonprofit world involves politics daily. You cannot be apolitical as you advance upwards in your nonprofit sector career. Success in your career is derived from managing relationships between people correctly and communicating effectively.
Continually research your position in the organization, and note nonprofit hiring trends and new opportunities. In demand positions in the nonprofit sector currently are development director, major gifts officer, IT systems administrator and online marketing manager, according to a John Hopkins Center for Civil Society Studies report.
When hiring employees or retaining existing employees, make sure you clearly state their job expectations, learn the best ways to communicate with them, and continually feel their pulse to determine if they are satisfied with their job, organization and sector.
Your Nonprofit Sector Career Growth
At one point in my career, I asked for an additional work assignment. I was the associate executive director at a large healthcare foundation. Our hospital purchased a smaller hospital in another community. I asked to assume, without pay, an additional title of executive director of the small healthcare foundation, just to enhance my worth, resume and collaborator role. Several years later, that led to the position of vice president of development/president of a healthcare foundation.
To build your nonprofit career over time, constantly evaluate where you are, where you have been and where you want to go. You will learn as your career expands what nonprofit areas excite you. Personally, I love the areas of education, healthcare and social services. It is all about your personal mission, focus and who you are helping.
Decide the size of the institution for which you would like to work and what types of positions interest you. You may want to become a major gift officer but have no desire to be a vice president of development. Professionals can be happy to serve either as a generalist in a small nonprofit or as a specialist in a large nonprofit. You have an array of choices, especially in a career field that is constantly in a state of flux.
Continue to improve your resume by reading, writing, speaking and engaging. Expand your professional network in fields of your future interest. Volunteer for other organizations you are passionate about. Connections and relationships lead to thriving careers.
Also, consider also earning a college degree that enhances your nonprofit sector focus or a master’s degree in a related field. Earn certifications, like the Certified Fundraising Executive (CFRE) designation, or become active in an association, like the Association of Fundraising Professionals (AFP).
As a long-time professional in the nonprofit sector, I have always wanted to stay in the field because I care about others, am mission oriented, and can thrive in both functional and dysfunctional environments. It is about servant leadership and promoting the profession and sector. If you are ever concerned if you made the right career choice, look in the eyes of someone that benefitted through a donor’s gift of time, talent and treasure that you secured. That look of gratitude says it all.
The preceding blog was provided by an individual unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of NonProfit PRO.
Related story: Is It Better to Be a Generalist or a Specialist?
Duke Haddad, Ed.D., CFRE, is currently associate director of development, director of capital campaigns and director of corporate development for The Salvation Army Indiana Division in Indianapolis. He also serves as president of Duke Haddad and Associates LLC and is a freelance instructor for Nonprofit Web Advisor.
He has been a contributing author to NonProfit PRO since 2008.
He received his doctorate degree from West Virginia University with an emphasis on education administration plus a dissertation on donor characteristics. He received a master’s degree from Marshall University with an emphasis on public administration plus a thesis on annual fund analysis. He secured a bachelor’s degree (cum laude) with an emphasis on marketing/management. He has done post graduate work at the University of Louisville.
Duke has received the Fundraising Executive of the Year Award, from the Association of Fundraising Professionals Indiana Chapter. He also was given the Outstanding West Virginian Award, Kentucky Colonel Award and Sagamore of the Wabash Award from the governors of West Virginia, Kentucky and Indiana, respectively, for his many career contributions in the field of philanthropy. He has maintained a Certified Fund Raising Executive (CFRE) designation for three decades.