Charitable nonprofits employ more than 12 million people in the U.S. Those hardworking staff members are the driving force behind nonprofit missions. But workforce shortages continue, straining nonprofits' ability to serve communities, according to our recently released report, “2023 Nonprofit Workforce Survey Results.” Fortunately, while survey respondents identified multiple serious challenges they face and related consequences to the public, they also shared numerous tactics they’ve deployed in their organizations as practical solutions – which is the topic of this month’s first feature.

For example, when reading through the survey responses, we were heartened to learn that nearly 40% of respondents identified having Diversity, Equity, and Inclusion trainings and strategies in place as practical solutions helping them hire and retain staff. This fact demonstrates that DEI programs offer substantive value.

Worker shortages are among the external forces buffeting nonprofit leaders and forcing them to consider changing aspects of their operations to remain effective and sustainable. But organizational change is hard, and often fails. Our second featured article this month, by Steve Zimmerman of Spectrum Nonprofit Services, shares three key steps leaders can take to increase the likelihood of success. Finally, given the decline in charitable giving and the current hiring challenges, we think readers will appreciate our article on setting appropriate expectations for how much new development directors can be expected to raise.

Recognizing that the people leading, working in, and volunteering for charitable nonprofits are, by nature, problem solvers, the survey invited respondents to share practical solutions nonprofits can use on their own to retain and attract staff. Among the top practical solutions that nonprofits reported were:

• Changes to Overtime Rule Proposed. The U.S. Department of Labor (DOL) has invited the public to submit comments regarding its recently announced proposed new regulations designed to update and revise overtime protections for millions of workers, including those employed by nonprofits. The draft regulations, which will not go into effect until after the period for public comment and subsequent DOL analysis, would increase the minimum salary level for executive, administrative, and professional employees to be exempt from overtime pay to $55,068/year from the current $35,568/year. (Some states already have thresholds higher than this proposed new federal threshold.) The proposed rule is open for public comment until November 7, 2023. See the National Council of Nonprofits’ analysis, including guidance on offering comments to DOL: DOL Proposed Overtime Reforms and the Impact on Nonprofits.
  
  
• The fundraising outlook is still gloomy, according to the Fundraising Effectiveness Project’s Q1 2023 report. In AFP Global’s coverage of the report, Woodrow Rosenbaum, Chief Data Officer of GivingTuesday, was quoted as saying, “With major donors and donations now declining along with all other giving groups, trends are down across the board. But there is still an opportunity to create positive momentum and growth in 2023,” such as adopting diversified fundraising strategies and broad engagement of grassroots givers. [Read more]
  
  
• Nonprofit employees with student loan debt – and their current or prospective employers – should be aware that, after a more than three-year pause, borrowers must start making payments on their federal student loans in October. Fortunately, the Public Service Loan Forgiveness Program (PSLF) is still solidly in place and more valuable than ever to nonprofits and their employees. [Find out more about PSLF]
  

Hundreds of people visit our job board each day, where they find thousands of nonprofit jobs across the country like those in this recent sampling:

Hiring? Check out our series of articles describing creative approaches to the workforce shortage crisis that can elevate equity, address burnout and stress, and discover, nurture, and develop talent in nontraditional ways.

Our newsletters are free for anyone to subscribe to. It’s part of our commitment to equity – ensuring that cost isn’t a barrier to any nonprofit professional getting access to the information they need to advance their mission. We welcome you to share this newsletter with others working with nonprofits. 

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