National Council Applauds President’s Call for Jobs Bill That Includes Nonprofits

Washington, D.C. - The National Council of Nonprofits today applauded President Barack Obama for including nonprofit organizations in his proposal to spur hiring by small employers. As the nation's largest network of small and midsize nonprofits, the National Council expressed gratitude that the White House recognizes the vital role nonprofits play not only as service providers, but also as employers important to the economic health of local communities.

"The President's plan would bring a measure of relief to the many nonprofits that are struggling to meet rising demand for their services at a time when financial resources are scarce," said Tim Delaney, president of the National Council of Nonprofits. "Beyond that, we are very encouraged that the Administration and Congress are increasingly recognizing how indispensable nonprofits are to our nation's economic and social fabric."

As part of the President's job-creation plan, businesses and nonprofits would get a $5,000 tax credit for every new employee they hire in 2010. If a nonprofit or business increases the hours or wages of employees making less than $106,800, the employer would be reimbursed for the additional Social Security taxes incurred. The maximum benefit for any one employer would be capped at $500,000.

The President's plan comes as Congress is considering other ways to support the nonprofit sector, which employs roughly 10% of the U.S. workforce. Last month, the Senate passed a health-care reform bill that would provide tax relief to help small employers - nonprofits and for-profit businesses alike - offer health benefits to their employees.

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