The Coronavirus pandemic has pushed the economy into a sudden and deep recession, impacting local businesses as well as a number of large corporations. But the effects of this pandemic on the nonprofit organization has been even more substantial and unfortunately, gone unnoticed. Many citizens rely on the services nonprofits provide such as, social services, medical care and spiritual community. Tens of thousands of nonprofits are likely to close without the support of some kind of rescue package to help keep their doors open. The nonprofit sector is the nation’s third-largest private employer, with 1.3 million nonprofits employing nearly 12.5 million people—about 10 percent of the total number of people working in the private sector.

According to the John Hopkins University 2020 Nonprofit Unemployment Report, more than 1.6 million nonprofit jobs have been lost between March and May of 2020. Private education nonprofits lost an estimated 323,201 jobs, while health care lost an estimated 574,530. As we know, nonprofits come in many shapes and sizes, ranging from large organizations, like city hospitals to small mom and pop thrift shops that help support local charities. No matter the size, nonprofits have been severely impacted by the pandemic in more ways than one. Many nonprofits are unable to perform normal day-to-days tasks due to the number of shutdowns and social distancing requirements. For food pantries and free clinics, the economic disruption has caused an increase in clients in need of these services. While many think of nonprofits as running predominately on donations, roughly half of their revenue come from billing for services, a third from government contracts and grants, and only about 9 percent from individual donations.

While some foundations and charitable-giving funds have seen an increase in their donations, other nonprofits have not had the same luck due to relying on revenue-generating activities and fundraising. Making it not only difficult to keep people on the payroll but also impacting long-term viability of their organization.

Many nonprofits were eligible for federal pandemic aid under the Paycheck Protection Program, which extended potentially forgivable loans to small employers to keep workers on the payroll. But qualifying for such aid can be difficult. Give Kids the World received $1.75 million, however, organizations like the Y.M.C.A. of Metropolitan Chicago were left out because they had more than 500 employees.

The nonprofit sector has more of an impact on the overall economy than many realize—offering crucial contributions to the country’s health, education, social service, and cultural activities. Nonprofits not only make up the country’s third largest workforce but also generate the third largest payroll of any national industry while making important contributions to the tax revenue of the country’s national, state, and local governments. The devastation of this pandemic has put many individuals out of work while closing the doors of many other beloved nonprofits—putting pressure on the vital services these organizations offer their communities.

UST is deeply saddened by the series of disturbing and tragic events that have taken place over the last few weeks related to the violence and injustice toward the Black community—including George Floyd, Breonna Taylor, Ahmaud Arbery, and countless others. The resulting protests have created a long overdue flashpoint for awareness, action, and change. 

UST has supported the nonprofit community for over 35 years and we are proud of the impact that each of our members have in their communities. We know that communities that have nonprofit organizations established within experience less crime, such as murder, violent crime and crimes against property. Sharkey’s work also affirms some of the tenets of community policing: that neighborhoods are vital to policing themselves, and that they can address the complex roots of violence in ways that fall beyond traditional police work. Whether it is taking back the public parks, establishing mentorship programs for youth or implementing job training and employment opportunities, these all make a difference. But. That. Is. Not. Enough.

UST does not do this work directly but we support the organizations who do in their efforts, their ideals and their fight for more social justice and equity in communities across the nation. We are fortunate to have a strong board of Trustees who are all working in their own spaces for change. We think our current Board Chair, Karen Beavor, CEO of the Georgia Center for Nonprofits has expressed our sentiments exceptionally well. View her complete message here.

UST will continue to support the work our nonprofit members do to address these issues; we will listen, and will actively look for ways to be part of the change that is so desperately needed.

September resulted in positive job growth with employers adding an additional 134,000 jobs—resulting in an average monthly gain of 201,000 over the past 12 months. These jobs were added across a variety of sectors including professional and business services, health care, transportation and warehousing.

The unemployment rate dropped by 0.2 of a percentage point to 3.7% in September, and the number of unemployed persons decreased by 270,000 to 6.0 million. Over the year, the unemployment rate and the number of unemployed persons declined by 0.5 percentage point and 795,000. The number of long-term unemployed (those jobless for 27 weeks or more) showed slight change at 1.4 million in September and accounted for 22.9 percent of the unemployed. Over the year, the number of people employed part time for economic reasons increased by 263,000 to 4.6 million

Job gains occurred in professional and business services (54,000), healthcare (26,000), transportation and warehousing (8,000), construction (+23,000), manufacturing (+18,000), and mining (6,000) while leisure and hospitality showed little change (-17,000). Prior to September, employment had shown an upward trend, however Hurricane Florence might have had an impact on the number of jobs for this industry. Employment in other major industries, including wholesale trade, retail trade information, financial activities and government, showed little to no change over the month.

In September, average hourly earnings for all employees on private nonfarm payrolls increased by 8 cents to $27.24. Over the course of the year, average hourly earnings had risen by 73 cents or 2.8 percent.

With the impact of Hurricane Florence affecting parts of the East Coast during the reference periods in September for the establishment and household surveys, the Bureau of Labor Statistics will be releasing the state estimates of employment and unemployment on October 19, 2018 at 10:00am (EDT).  

Employers added 313,000 jobs in February and the unemployment rate remained unchanged at 4.1 percent making the number of people unemployed the same at 6.7 million.

In February, the number of long-term unemployed was essentially unchanged at 1.4 million which  accounts for 20.7 percent of people that are currently unemployed. Overall, the number of long-term unemployed has been down by 369,000 for 2018. With the civilian labor force rising to 806,000, the labor force participation rate also increased by 0.3 percentage point to 60.4 percent in February.

The number of persons employed part time for economic reasons—referred to as involuntary part-time workers was changed slightly at 5.2 million. Also, these individuals, who would have preferred full-time employment, were only working part time due to their hours being cut or not being able to find jobs that offer full-time employment. In addition, the 1.6 million people that were marginally attached to the labor force only changed slightly compared to the year prior. With these individuals not being part of the labor force, they had either been available for work or looking for employment for the past 12 months.

The U.S. economy added over 50,000 jobs in construction, retail trade, professional and business services while Manufacturing increased by 31,000 jobs. Major industries like, wholesale trade, leisure and hospitality, and government showed little change over the course of the month. In February, average hourly earnings rose by 4 cents to $26.75, following a 7-cent gain in January. Over the year, average hourly earnings have increased by 68 cents/2.6 percent. The average hourly earnings of private-sector production and nonsupervisory employees increased by 6 cents to $22.40 in February.

This month’s job report highlights a winning combination of a large increase in job creation and a growing workforce revealing strength in our economy. In addition, the modest wage growth defused concerns that competition for workers was driving up salaries and igniting inflation.

December marked the 87^th consecutive month of job growth, adding an additional 148,000 positions during the month - bringing the total number of jobs filled in 2017 to 2.06 million. The unemployment rate remained unchanged at 4.1 percent for the third consecutive month but fell over the year by 0.74 percent, a 17-year low.

The number of persons employed part time for economic reasons was essentially unchanged at 4.9 million in December but was down by 639,000 over the year. These individuals, who would have preferred full-time employment, were working part time because their hours had been cut back or because they were unable to find a full-time job. The number of long-term unemployed remained essentially the same at 1.5 million in December but declined by 354,000 over the year.

Among the marginally attached, there were 47,000 discouraged workers in December, little changed from a year earlier. Discouraged workers are those not seeking employment opportunities because they believe there are no jobs available. The remaining 1.1 million persons marginally attached to the labor force in December had not searched for work for reasons such as school attendance or family responsibilities.

Payroll employment growth totaled 2.1 million in 2017, compared with a gain of 2.2 million in 2016. Job gains occurred in healthcare (31,000), construction (+30,000) and manufacturing (25,000), collectively creating over half a million jobs in 2017. Employment changed little for most other major industries, including food services, professional and business services, retail trade, mining, wholesale trade, transportation and warehousing, and financial activities.

The labor force participation rate, at 62.7 percent, was unchanged over the month and year. And while the employment-population ratio was also unchanged at 60.1 percent in December, it was up by 0.3 percentage point over the entire year.

Wages rose in December by 9 cents, increasing over the year by 65 cents, or 2.5 percent.

This all alludes to an economy that is healthy and likely to continue growing but we won’t know for sure for a while.

Employers added 156,000 jobs in August and the economy requires 150,000 new jobs each month in order to continue expanding. Considering the economy is growing at a healthy rate, tax cuts and increased spending in 2017 may cause for inflation.

In August, both the unemployment rate, at 4.4 percent, and the number of unemployed persons, at 7.1 million, were little changed from July. After a decline at the start of the year, the unemployment rate has remained at a consistent range from 4.3 or 4.4 percent since April. The labor-force participation rate- People who had a job or were looking for one—remained unchanged at 62.9 percent.

The U.S. economy added 36,000 jobs in manufacturing while construction increased by 28,000 and health care rose by 20,000. Employment in the professional and technical services industry has shown a gradual increase over the course of the year with 22,000 positions filled for the month of August. Mining industry has gained 7,000—employment in mining has risen by 10 percent since October 2016. Employment in other major industries, such as wholesale trade, retail trade, transportation and warehousing, information, financial activities, and government, showed little to no change over the course of the month.

In August, average hourly earnings rose by 3 cents, after rising by 9 cents in July. Over the past 12 months, average hourly earnings have increased by 2.5 percent. In addition, the average hourly earnings of the private-sector productions and non-supervisory employees increased by 4 cents.

Keep in mind, Hurricane Harvey had no direct effect on the employment and unemployment data for the month of August. Household surveys data collection was completed before the storm. Establishment survey data collection for this new release was mostly completed prior to the storm, and collection rates were within normal ranges nationally and for the affected areas.

Both the number of unemployed persons, at 7.6 million, and the unemployment rate, at 4.8 percent, were little changed from the prior month. The labor-force participation rate – Americans who had a job or were looking for one - ticked up to 62.9 percent from 62.7 percent in December, but it is still near its lowest level since the late 1970s.

The underemployment rate – people that are unemployed plus those who work part-time – rose 0.2 percent in January. Though the rate has fallen considerably in recent years, this is its highest level since October and nearly twice the level of the official jobless rate. Long-term unemployment – Americans out of work longer than six months – remains elevated at 24.4 percent.

America added 46,000 jobs in retail trade while construction rose by 36,000 and financial activities gained 32,000 jobs. Employment in health care also continued to trend up in January with an additional 18,000 positions being filled. Employment in other major industries, including mining, manufacturing, wholesale trade, transportation and warehousing, and information and government, showed little to no change over the month.

In January, average hourly earnings rose by 3-cents, following a 6-cent increase in December. Over the year, average hourly wages have risen by 2.5 percent, a sign of continued momentum from last year.

While this is the first jobs report to be released under the Trump administration, the survey was conducted weeks before the Presidential Inauguration so no doubt all of America will be watching closely to see how the state of unemployment starts to unfold.

Total nonfarm payrolls rose by 161,000 in October while the unemployment rate dipped slightly from 5 percent in September to 4.9 percent. The number of unemployed also dipped in October to 7.8 million. The revision in numbers for both August and September, reflect an additional 44,000 employment gains, bringing the monthly average over the last three months to 176,000.

Employment continued to trend up in health care (+31,000), professional and business services (+43,000), and financial activities (+14,000). Combined, these three industries have filled over 100 thousand positions this year. Employment in other major industries, including mining, construction, manufacturing, wholesale trade, retail trade, transportation and warehousing, information, leisure and hospitality, and government, changed little over the month.

The number of long-term unemployed (those jobless for 27 weeks or more) was unchanged at 2.0 million in October and accounted for 25.2 percent of the unemployed.

Average hourly earnings climbed an additional 10 cents to $25.92 with an annualized increase of 2.8 percent. Wage growth is at its strongest point right now with the employment-to-population ratio reaching 78.2 percent, a level it hasn’t reached since 2008.

Employment gains have remained steady since the recession ended providing a rise in earnings in recent years which solidifies a rate increase before the end of the year.  Some, however, are suspecting  that the outcome of Tuesday’s election may ultimately affect that action even further.

Total non-farm payrolls increased by 156,000 in September which was lower than the expected 176,000. So far this year, job growth has averaged 178,000 per month, compared with an average of 229,000 per month in 2015. The unemployment rate ricked slightly upwards to 5.0 percent and the number of unemployed, at 7.9 million, changed little. Both measures have shown little movement since August of last year.

Job gains occurred in professional and business services with 67,000 new positions while health care added 33,000 jobs and food and bar services added 30,000. Retail trade continued to trend up over the month with an addition of 22,000 jobs.

Mining employment was unchanged in September and employment in other major industries, including construction, manufacturing, wholesale trade, transportation and warehousing, information, financial activities, and government, showed little change over the month.

The number of long-term unemployed (those jobless for 27 weeks or more) accounted for 24.9 percent of the unemployed population and remained unchanged at 2.0 million. Both the labor force participation rate, at 62.9 percent, and the employment population ratio, at 59.8 percent, were unchanged in September.

Average hourly earnings for all private non-farm employees rose by 6 cents to $25.79. Over the year, average hourly earnings have risen by 2.6 percent.

The Federal Reserve is looking to get rates back to normal and there is implication that could happen in December so this report comes at a critical time.  With the presidential election, however, there may be further postponement.

August has continuously undershot expectations by the most of any month on average over the last 13 years and this year has proved no different with a mere 151,000 job gains. The unemployment rate was unchanged for the third month in a row at 4.9 percent and the number of unemployed persons held steady at 7.8 million or 9.7 percent - both showing little movement over the year. Average hourly earnings in August rose by an additional 3 cents to $25.73.

Employment in restaurants and bars continued to trend upward with an additional 34,000 jobs. Social assistance added 22,000 positions, with most of the growth in individual and family services. Employment in professional and technical services grew by 20,000 and financial activities edged up by 15,000. Health care also contributed 14,000 jobs in August, though at a slower pace than the average monthly gain over the prior 12 months. Since peaking in September 2014, employment in mining has declined by 223,000, with an additional loss of 4,000 positions in August.

Employment in several other industries – including constructions, manufacturing, wholes trade, retail and information, transportation and warehousing, temporary help services, and government – showed little change over the month.

The number of long-term unemployed (those jobless for 27 weeks or more) accounted for 26.1 percent of the unemployed population and remained unchanged at 2.0 million. Both the labor force participation rate, at 62.8 percent, and the employment-population ratio, at 59.7 percent, were also unchanged in August.

The change in total nonfarm payroll employment for June was revised down from +292,000 to +271,000, and the numbers for July were revised up from +255,000 to +275,000, combined job gains were 1,000 less than previously reported.

Job numbers are being watched closely by the Federal Reserve as they prepare to meet this month to discuss the possibility of a rate increase which is appropriate when the economy shows a solid and continual improvement. Many feel the August numbers still show economic growth but the jobs report likely decreases the probability of a rate hike for right now.