68 posts categorized "Covid-19"

More Americans may be going back to work, but their jobs are getting worse

April 16, 2021

Essential_worker_Christine_McCann_sffLast April, the coronavirus pandemic brought the longest economic expansion in American history to an abrupt and shocking halt. In just a few short months, the unemployment rate shot up from a fifty-year low of 3.5 percent to nearly 14.7 percent. A year later, many people are breathing a sigh of relief as the rate has ticked back down to 6 percent, with some taking it as a sign that America is on track to full economic recovery.

But while recent headlines may be cause for optimism, they don't tell the whole story. Using the unemployment rate to gauge the health of an economy is like putting your hand on someone's forehead to check whether they have COVID-19. It can tell you whether they're running a fever,  but it doesn't provide enough data to make an accurate diagnosis.

The truth is, the unemployment rate tells us nothing about the quality of jobs, making it an inadequate metric to understand the true health of the labor market. Gallup's 2020 Great Jobs Report, which Omidyar Network supported in partnership with the Bill & Melinda Gates Foundation and  Lumina Foundation, found that more than half (52 percent) of those who were laid off during the pandemic — even if they were subsequently re-hired — reported a decline in their overall job quality as measured across eleven dimensions, including pay, benefits, stability, and safety.

First commissioned in 2019, the Great Jobs survey was groundbreaking: unlike simple "job satisfaction" metrics aimed at providing an overall sense of job satisfaction, the intent of the survey was to look under the hood of the labor market and identify trouble spots. A diverse group of more than sixty-six hundred working people were asked to define what a "good" job looks like and then assess how their own jobs stacked up against that standard. The original survey showed that less than half (40 percent) of working people in the United States believed they were employed in a good job, while one in six (16 percent) believed they were stuck in a bad job, with significant disparities by race.

The latest survey gives us a window into how the pandemic has impacted job quality. Those who started 2020 in a low-quality or "bad" job — based on their own assessment — were far more likely to have been laid off (36 percent) than those working a high-quality or "good" job pre-pandemic (23 percent). And low-wage workers with high-quality jobs in 2019 reported experiencing much lower COVID-19  risk and better employer-provided protective measures during the pandemic. The fact is, job quality matters, especially when a crisis hits.

Even before COVID struck, the topline numbers masked how unhealthy the U.S. economy really is. The richest 10 percent of Americans control 77 percent of the country's wealth, while for millions of Americans the rising cost of living has skyrocketed, wages have stagnated, and the wealth inequality gap continues to widen. These are not the hallmarks of a healthy economy.

The findings from The Great Jobs Report underscore the mounting evidence that the pandemic exacerbated structural inequities within the U.S. economy. Indeed, job quality in 2020 actually improved for people who avoided being laid off, with many reporting improvements in their compensation, flexibility with respect to where and when they worked, workplace safety, and  a sense of purpose in their work. By contrast, those who experienced being laid off reported lower scores on every dimension of job quality except safety.

But COVID-19 is just the latest driver of worsening job quality in the U.S., with technological disruption leading the list of other threats. While automation may not lead to the mass destruction of jobs — as feared by some — it could lead to deterioration in job quality in many industries and sectors. Meanwhile, the gig economy has made underemployment an acceptable alternative to unemployment. If someone who is laid off starts driving for Uber, they count as employed  — even though it is a more precarious, unstable, and lower-paid kind of work. This also has the effect of skewing the monthly unemployment numbers lower than they otherwise would be. An upskilling and job-matching program won't address these trends; the problem is with the jobs themselves, not the skills of the people in these jobs.

The alarming state of job quality in America reinforces how critical it is to empower working men and women to bargain for a fairer deal and better quality jobs across the dimensions that matter most.

We can create an economy where everyone has a good job. But if we don't start to pay attention to the quality, and not just the quantity, of jobs, we risk creating an economy where major disruptions driven by pandemics or natural disasters, automation, and climate change could lead to continued deterioration in quality of jobs for those who already find themselves in a precarious position. And if we continue to rely on the unemployment rate to tell us what's going on, we risk becoming dangerously out of touch with what's really happening.

We are heartened by the Biden administration's American Jobs Plan and the emphasis it puts on high-quality jobs. But it's going to take a concerted effort across society to detangle the perception that the unemployment rate is the final word on the health of our economy and working Americans. We urge other philanthropists and foundations, experts and economists, advocates, and activists to join the movement to put quality at the center of how we think about jobs and help us find better ways to measure, understand, and fight for quality jobs.

(Photo credit: Christine McCann, San Francisco Foundation)

Tracy_Williams_Omidyar_philantopicTracy Williams is a director at Omidyar Network, where she leads the social change venture's work to reimagine capitalism, build the power of working people, and shape a new economic paradigm.

5 Questions for...Carly Bad Heart Bull, Executive Director, Native Ways Federation

April 13, 2021

Carly Bad Heart Bull joined the Native Ways Federation (NWF) in April 2020 as its executive director. Launched in 2006 in Longmont, Colorado, by the American Indian College Fund, American Indian Science and Engineering Society, Association on American Indian Affairs, First Nations Development Institute, National Indian Child Welfare Association, Native American Rights Fund, and Running Strong for American Indian Youth, NWF is focused on activating and expanding informed giving to Native-led organizations through donor education and advocacy. To that end, NWF is working to bring together Native organizations and raise awareness and support for the communities they serve, strengthen Native nonprofits, and ensure the highest levels of ethical standards and fiscal responsibility across the sector.

Prior to joining NFW, Bad Heart Bull, who is Bdewakantunwan Dakota/Muskogee Creek and a citizen of the Flandreau Santee Sioux Tribe in South Dakota, managed the Bush Foundation's work with twenty-three Native nations across Minnesota, North Dakota, and South Dakota and served on an advisory committee for the Investing in Native Communities portal, a joint project of Native Americans in Philanthropy and Candid. She holds a juris doctorate and previously served as an assistant county attorney for the Hennepin County Attorney's Office in Minneapolis; led a successful campaign to restore the Dakota name of the city's largest lake, Bde Maka Ska; and in 2019 was selected by the W.K. Kellogg Foundation as a Community Leadership Network Fellow.

PND asked her about the impact of COVID-19 on Native communities, Native efforts to address climate change, and the role of language in racial equity efforts.

Headshot_Carly_Bad_Heart_Bull_Native_Ways_Federation_KelloggPhilanthropy News Digest: Native American communities have experienced disproportionately higher infection and mortality rates than the general population during the COVID-19 pandemic. To what do you attribute those disparities?

Carly Bad Heart Bull: COVID-19 disproportionately affects communities of color, and Native people are at an especially heightened risk because of numerous factors, including limited access to quality health services, inadequate housing, lack of access to clean and safe water, and other infrastructure issues. Native people are also more likely to suffer from diabetes, heart disease, and other underlying conditions that put them at significant risk.

All these community issues connect back to the U.S. government's failure to comply with historical treaty obligations to fund basic services in exchange for tribal land. The impacts of colonization continue to have detrimental effects on our nations and our people. Our tribes and Native-led organizations are working hard to address these issues, and many of them are doing amazing innovative work. However, they need increased funding and supports in order to most effectively serve their communities. This need existed before the pandemic and it's even greater now. For example, many of our Native language speakers, the majority being elders, have died in the past year from COVID-19. Our Indigenous languages are central to who we are as Native people; they embody the essence of our cultures and teach us Indigenous worldviews and ways of being that connect us to one another and to the land. Assimilation efforts by the U.S. government, including education policies such as the development and implementation of boarding schools and relocation policies, were aimed at disconnecting our people from these important cultural resources. Language teachers and advocates in our communities have been working hard to revitalize our languages for years. It's imperative that this work continues and grows — now more than ever — as we have even fewer fluent speakers to learn from due to the pandemic.

I would also note that we don't yet know the full impact of COVID-19 on Native communities, in part because of the issue of inaccurate and misclassified data as it relates to our communities. It's an important story that needs to be better understood and addressed.

PND: How has philanthropy, both Native-based and more broadly, responded to the needs of Indigenous communities during the pandemic? Have you seen an increase in philanthropic investments in Native communities?

CBHB: Philanthropy responded quickly in many respects. Many foundations increased their giving amounts, and we saw a large number of foundations reduce restrictions on existing and new grants, providing opportunities for organizations to adapt appropriately and use their grant funds in ways that best served the people and communities they were intended to serve during these unprecedented times. At the same time, I've talked to Native nonprofit leaders who lost revenue they depended on because they weren't able to host fundraising events, and in many cases increased philanthropic support hasn't made up for those losses.

That said, I do think the data will show an uptick in funding — a response, in my view, not only to the impacts of the virus but to the greater call to action on behalf of Native communities and communities of color sparked by the murder of George Floyd. We are still not where we need to be, but I remain cautiously optimistic.

One thing I am concerned about is whether any increase in funding for Native communities will be sustained, or just be a one-time philanthropic reaction. I hope the answer is the former. I hope that foundations continue to pay attention to the underlying infrastructure issues that resulted in Native people and communities being disproportionately impacted by the pandemic, and that support for tribes and Native-led organizations continues to increase and not decline as the COVID-19 numbers start to fall. Philanthropy needs to support systemic change efforts that are led and guided by Native people so that our people not only survive, but can thrive in a post-COVID world.

PND: According to data compiled by Investing in Native Communities, large U.S. foundations have allocated just 0.4 percent of their total annual grantmaking to Native American communities and causes since 2006. What, in your opinion, are the factors behind the lack of funding for Native communities, and what is the Native Ways Federation doing to address it?

CBHB: That's correct, and that's also despite the fact that Native peoples comprise 2 percent of the U.S. population and, even more importantly, are the original people of this land. That same analysis found that only 20 percent of large foundations give to Native communities or causes at all. There are multiple factors at play here, and one of the biggest issues is that of invisibility. This country has done a terrible job of educating the broader population about Native history and people. A 2019 NCAI report found that 87 percent of state history standards include no mention of Native American history post-1900, and twenty-seven states don't even mention Native peoples in their K-12 curriculum. According to the dominant narrative, we are a people of the past. But the fact is, we are still here and we matter. There is really important work happening, much of it led by Native nonprofits, to lift up Native visibility and perspectives with a focus on truth-telling and healing.

I've done quite a bit of speaking on the importance of increased philanthropic support for Native organizations and tribes, and one of the responses I've heard too many times to count is, "We'd love to help, but we don't have a program for that." While intentional programs for funding Native communities are great, they aren't always necessary. It's more than likely that any area a foundation is investing in — whether that be education, health, the environment, economic development — is an area where Native organizations and tribes are doing important, necessary work, and that work should be supported.

NWF is working to address these issues in multiple ways. Our seven founding member organizations started coming together a number of years ago in part to address the lack of philanthropic funding for Native-led organizations and the fact that we were seeing a large percentage of funding intended for Native communities actually going to non-Native organizations. It's still a problem. A large part of NWF's work is focused on donor education and advocacy in support of Native-led nonprofits, because we know that we are best situated to effectively serve our communities. And we are further developing our collective voice in philanthropic spaces to hold foundations accountable and to strengthen the Native nonprofit sector on our own terms.

I came to NWF with experience as a Native program officer, and I hope to build on some of that previous work. For example, at the Bush Foundation we did a major analysis of our grantmaking in Native communities and found that our coding practices were inconsistent and that our grantmaking data were not always accurate. This is a bigger philanthropic-sector issue that needs to be discussed more broadly. I actually believe that the 0.4 percent number is inflated — in large part as a result of foundation grant data inaccurately reported as "serving" Native communities. This may not even be intentional, but it needs to be addressed, and it's an area where we at NWF hope to do more work in influencing change within the sector.

PND: You've said that your earlier career as an assistant county attorney taught you "to speak a new language — the language of law and how to navigate systems of power," and that institutional philanthropy needs to develop a common language as it evolves "from a transactional to a relational practice." What kinds of things would such a common language address?

CBHB: For one, the grant coding issue I just discussed; there needs to be a more consistent sector-wide effort toward making sure that grant data is being accurately reported. Current grant reporting by foundations falsely benefit the foundations themselves rather than the communities they are trying to serve, as they may believe they are serving certain demographics at a rate that they are not. Data tell an important story — and there needs to be more conversation and movement toward making sure the story is being consistently and accurately shared.

Also, there needs to be an emphasis on relationship and trust building. That means taking care of one another and recognizing the roles that we each play in the broader effort toward realizing a healthier society. For too long, grantee organizations have been expected to learn the language of institutional philanthropy in order to receive funding, rather than foundations better understanding, and reflecting, the communities they serve. This type of transactional relationship is imbalanced, and it doesn't serve anyone well in the long run

Native organizations work closely with the communities they serve, and they need to be appropriately resourced to do their work as effectively as possible. That means not only increasing funds but also increasing flexibility in terms of how foundations fund. It means increasing general operating support and trusting that we know best what to do with the funds. And it means reducing extensive reporting requirements — let us focus on the work rather than on writing detailed overburdensome reports. One thing it doesn't mean is that we don't have to communicate — we should be checking in, building relationships, and learning from one another.

PND: You've noted that Indigenous wisdom and ways of being are integral to the vitality of communities and the planet. How do you envision philanthropy's role at the intersection of racial and environmental justice? And what can it do, or do more of, to support Native advocacy for climate action?

CBHB: Philanthropy needs to increase support of Native-led environmental justice efforts — we will all be better for it. Native people are the original stewards of this planet, and the solutions to some of the most pressing environmental issues we are facing — such as climate change — can be found within the ideologies and practical applications of Indigenous wisdom.

Yet very little of the philanthropic dollars that go to environmental justice efforts go to Native-led organizations or tribes. That needs to change. A great majority of the wealth in the philanthropic sector was accumulated at the expense of communities of color, Native nations and people, and the environment. The extraction of natural resources, the removal of Native people from their homelands, the use of forced labor — these violent extractive and transactional actions have had a detrimental effect on our communities and on the environment. Philanthropy needs to hold itself accountable for the destruction that has taken place in our homelands and they need to support Native-led environmental justice efforts working to protect, restore, and heal this planet while we still can.

I'm optimistic of the future because I need to be for my son. Our work to restore the Dakota name of the biggest lake in Minneapolis, Bde Maka Ska, was and is important because we are the original people of Mnistoa Makoce (aka Minnesota, or Where the Water Reflects the Sky); I want him to grow up knowing where he comes from and to be proud of who he is and of his people. Creating a better world for him, and for future generations yet to be born, is what keeps me going. My ancestors went through a lot so that I could be here, and now I have the responsibility to carry that legacy forward. It's also past time for non-Native people in this country, including in the philanthropic sector, to listen to and act in support of our Native nations and our Native-led organizations and efforts. We will all be better for it.

— Kyoko Uchida

Supporting the South's small businesses is supporting an equitable recovery

March 26, 2021

Closed_due_to_coronavirus_sign_GettyImagesLike the rest of the nation, small businesses across the South have faced unprecedented challenges since the beginning of the COVID-19 pandemic. Millions of them saw demand drop and had to close their doors as their reserves were depleted. The breadth of the impact has been staggering — from industries like travel, food service and hospitality, to dentists, artists, mechanics, and farmers.

While federal relief efforts have been helpful for some, they have been insufficient or inaccessible for many, especially women, people of color, immigrants, and other underbanked populations. To address the gap, a number of philanthropic programs have been launched in states across the country to help small businesses at the back of the line — or not in the line at all.

The South has long suffered from a lack of philanthropic and institutional investment, a trend that has continued through the pandemic. The region benefits from only 56 cents of giving for every dollar granted in other regions. And for every dollar given to address structural change in the rest of the country, just 30 cents goes toward these issues in the South, despite well documented challenges with economic mobility, particularly in communities of color. This lack of investment could mean a slower, more difficult recovery and a deepening of those structural issues in the region.

Now is the time to change that trajectory, and supporting small businesses, including small-scale farmers and critical community organizations, is a place to start. Small businesses create jobs, drive economic vitality in communities, and have a tremendous impact on the well-being of families: entrepreneurship is second only to home ownership as an effective means of building family wealth. Plus, we know that small businesses tend to provide higher-quality jobs and are active participants in their communities.

Given adequate resources to navigate and rebuild from the pandemic, these resilient, creative, and resourceful entrepreneurs can overcome the immense hardships they are facing; in fact, many are already showing their resolve to do so. For countless small business owners, there has been no other option.

Unfortunately, even pre-pandemic, many of these businesses lacked access to affordable credit. NextStreet estimates that the credit needs of un- or underbanked small businesses exceeds $80 billion — and that was before banks pulled back because of the economic uncertainties created by COVID-19. We saw bank lending decline 16 percent during the Great Recession; given the recent trends of bank consolidation and the loss of many community banks, we expect the pandemic-driven decline to be even steeper in low-income, rural, and already underresourced communities across the country.

Luckily, we know — and have seen throughout COVID — that nonprofit community-based lenders certified as community development financial institutions (CDFIs) take the opposite approach. In times of crisis, they lean in. CDFI lending increased during the Great Recession, with many CDFIs doing five to ten times more lending in 2020 than in previous years to support the immediate needs of the small businesses and community-based organizations operating within their footprint.

That is why we are building and supporting the Southern Opportunity and Resilience (SOAR) Fund alongside thirteen CDFIs across the South. The program was designed to support the needs of local community lenders so they have access to low-cost capital, a technical assistance ecosystem, and a centralized technology platform that helps them find small businesses, including small-scale farmers, and nonprofits who need their help.

The economic recovery from the impact of COVID-19 is going to be long, and support for small businesses will be needed well beyond the administration of vaccines. If we want the post-pandemic recovery to be more equitable than the last one — and be focused on the potential and opportunity in local economies across the South — we need solutions structured to support the scaling of organizations that have been built in and served these communities for decades.

If we want to create asset- and wealth-building opportunities while maintaining the critical cultural fabric of our communities, philanthropists need to come together to support CDFIs and the small businesses they were built to serve.

(Photo credit: GettyImages)

Beth Bafford_Jennifer_Gadberry_philantopic - CopyBeth Bafford is vice president of syndications and strategy at Calvert Impact Capital, which is acting as the arranger for the SOAR Fund. Jennifer Gadberry is vice president of asset management at Heifer Foundation, an investor in the SOAR Fund.

To save lives, fund syringes

March 15, 2021

SyringesWhen COVID-19 struck, the United States was already facing a number of public health crises, with national rates of overdose, HIV, and viral hepatitis rising due to increases in substance use linked with a surge in prescription opioids.

The pandemic has converged with these crises, worsening health outcomes for people who use drugs — a crisis that is likely to persist unless we change our approach to drug use.

Take overdose deaths, which increased some 20 percent in the United States between June 2019 and June 2020, to more than 81,000, according to the Centers for Disease Control and Prevention. That's the most fatal overdoses ever recorded in a single year.

And while national figures for new HIV and viral hepatitis cases are not yet available, it's likely they are growing, too, given reported spikes in injection-drug use. (Both diseases can be transmitted via the sharing of injection supplies.) From 2014 to 2018, HIV diagnoses increased 9 percent among Americans who use drugs overall, while some 2.4 million Americans had been diagnosed with hepatitis C as of 2016.

Such grim statistics underscore the need for the U.S. to adopt evidence-based drug policies that can save lives and improve outcomes for people who use drugs. The willingness of the Biden administration to think differently about national drug policy and the changing views of Americans present a critical opportunity to do that.

For decades, policy makers and medical professionals have addressed substance use in two main ways: demand reduction and supply reduction. Both approaches treat substance use as an immoral behavior to be eschewed, instead of as a personal response to social factors or difficult life circumstances.

Neither strategy has significantly reduced substance use or its associated harms. Even though drug arrests jumped 171 percent between 1980 and 2016, the price of most illicit drugs fell, while attempts to dismantle the international drug trade have resulted in extreme violence.

Indeed, America's War on Drugs has tyrannized countless numbers of Black and brown families with racialized policies like mandatory minimum sentencing guidelines. Such policies have resulted in the overcriminalization of minor drug offenses, the mass incarceration of Black and brown people, and fractured communities across the nation.

Meanwhile, Americans are still using drugs.

It is long past time for the U.S. to embrace the principle of harm reduction, which has proven to lower rates of substance use around the world. Harm reduction recognizes the humanity of people who use drugs, acknowledging that people's relationships with substances usually change over time, and aims to minimize the negative consequences of substance use by fostering the inclusion of those who use drugs in an ecosystem of interventions and services.

The most effective harm-reduction interventions are syringe-services programs (SSPs), which were introduced in the 1980s and '90s as a community-based response to injection-drug use amid the HIV/AIDS epidemic.

Today, they provide syringes, overdose-prevention education, syringe-litter cleanup, infectious-disease testing, and — crucially — naloxone, the lifesaving overdose antidote. SSPs also connect their clients to treatment for substance-use disorder, as well as primary care and social services.

Despite this vital work, U.S. laws have long constrained service providers. In 1988, bipartisan opponents of syringe services prohibited providers from receiving federal funds until the government determined they were safe and effective. The ban remains partially in effect, even as reams of research have shown the benefits of syringe services, from reducing emergency medical costs to lowering rates of HIV and hepatitis C. SSPs still cannot use federal funds to purchase syringes, which help prevent infectious disease among people who inject drugs.

Since the COVID-19 pandemic began, I've seen a dramatic spike in people receiving syringe services through my work managing AIDS United's Syringe Access Fund, which disburses about $1 million in philanthropic funds to SSPs annually. And it is happening at a time when public and private funding for harm-reduction services was already inadequate.

Although Congress has allocated billions of dollars to combat the opioid crisis, many of those programs stop short of addressing the complex health, psychosocial, and socioeconomic factors underlying chronic substance use. For instance, half of all State Opioid Response (SOR) grants — a major federal initiative designed to help states expand their opioid addiction treatment services over the course of two years — went unspent, a federal watchdog has found, by the time the program was wound down. At the same time, our Syringe Access Fund grantees are struggling to meet their clients' needs and pay their bills. This not only imperils lives and public health but strains local resources.

It is time Americans recognize that the best way to reduce the staggering number of lives lost to overdose each year is to invest in services that support people while they are using drugs. To do that, we need to reach people who use drugs where they are. Syringe services programs are a cost-effective way to serve communities that many see as hard to reach, but which actually are hardly reached, as well as an opportunity to invest in a more holistic and inclusive public health infrastructure.

Without greater investment in that infrastructure, hundreds of thousands of Americans are likely to slip through the cracks and die from overdose in the years to come. We have the tools to prevent these deaths, so long as we invest in the lives of people who use drugs.

Zachary_Ford_AIDS_United_philantopicZachary Ford is a senior program manager at AIDS United, where he oversees the Syringe Access Fund, a grantmaking initiative focused on improving health outcomes for people who use drugs.

What COVID-19 has taught us about investing in public health

March 12, 2021

2020_May_Ho Chi Minh City_screening_Operation_SmileCOVID-19 continues to pose novel challenges to health systems around the world. With the rapid depletion of stockpiles of personal protective equipment (PPE) and severe shortages of physical space in which to care for those affected by this perplexing and terrible disease, even well-resourced surgical health systems have been pushed to the brink of their capacity.

But in many low- and middle-income countries, the virus that emerged in late 2019 has exacerbated a problem that remains anything but novel in 2021. In places that lack the infrastructure, funding, and healthcare workforce able to cope with the pre-pandemic needs of its citizens, COVID-19 has further limited the ability of public health systems to provide essential surgical care to people who need it.

A study published in the British Journal of Surgery estimates that over a twelve-week period during the initial surge of COVID cases last spring, hospitals in low- and middle-income countries were forced to cancel more than 15.5 million surgical procedures as they prioritized patients infected with the virus. The ripple effect caused by these cancellations has had costly consequences in terms of avoidable human suffering. People who need surgery for trauma, cancer, burns, or congenital conditions such as cleft lip and cleft palate have been forced to wait and grapple with the debilitating effects of their conditions. Lives have been lost.

On a personal level, the coronavirus pandemic has brought back memories of my experience in Liberia leading Africare's response to the 2014-15 Ebola epidemic. During that emergency, all essential and emergency public health services were suspended as the healthcare system struggled to respond to the surge in Ebola cases. As a result of insufficient investment over many years, the country was ill prepared to address the highly infectious nature of the disease, and its response was further weakened by the dearth of critical medical equipment, testing and diagnostic capabilities, healthcare workers with the training needed to respond to the disease, and adequate PPE.

We see many of the same factors at work today, with predictable results, including an erosion of trust and confidence in health workers' capacity to provide adequate care and in patients' ability to receive care without risking their lives. As reported in a Journal of Public Health paper, patients in need of surgery are not seeking care for fear of contracting COVID while in hospital or a clinic. And this is in addition to preexisting structural, financial, and socioeconomic barriers that prevent tens of millions of people from accessing safe surgery.

We must and can do better.

If we are to care for the countless number of people in need of surgery while remaining responsive and resilient when faced with outbreaks of diseases such as COVID-19, the global health and international development communities must step up their capacity-building investments in both surgical ecosystems and public health systems.

Early on in the pandemic, Operation Smile made the difficult decision to put all its medical programs on pause. We knew hospitals and frontline health workers would soon be overwhelmed by an influx of desperately sick patients and that we needed to protect the people who turn to us for help, their families, and our staff and volunteers by suspending international travel indefinitely.

These measures resulted in surgery and dental care being delayed for thousands of Operation Smile patients. At the same time, we decided to increase our investment in public health systems in the countries where we work, both in response to the virus and to improve the quality of locally available care after the pandemic was over. To that end, we leveraged our longstanding relationships with various ministries of health and NGO partners to procure and donate PPE, respiratory equipment, COVID-19 test kits, and food and hygiene supplies to hospitals and communities hard hit by the virus.

What has been especially impressive about the global surgery community's response to COVID-19, however, has been its unity. Despite all the challenges posed by international travel restrictions, NGOs have turned to one another for help in overcoming their logistics and implementation hurdles. We experienced this firsthand in our work with organizations like the World Children Initiative, African Medical and Research Foundation, Kids Operating Room, Lifebox, and Medical Aid International, all of which have been instrumental in helping us procure and distribute PPE and medical supplies and equipment across Africa.

And the response extends beyond physical donations. Academic institutions, surgical societies, NGOs, and corporations have also come together to provide virtual training and education opportunities to frontline healthcare providers in resource-constrained settings. Operation Smile today partners with the United Nations Institute for Training and Research, the College of Surgeons of East Central and Southern Africa, and ministries of health in a number of countries to help thousands of health workers upgrade their skills and address the unique challenges they face.

At the end of the day, investments in public health systems help build confidence among patients, who can see that they will receive care that is safe and effective, as well as health workers, who are empowered with the knowledge, supplies, and skills they need to deliver relevant care safely and in a timely fashion. Indeed, World Health Organization chief Tedros Adhanom Ghebreyesus recently affirmed that the time for such investments is now: "Public health is more than medicine and science and it is bigger than any individual and there is hope that if we invest in health systems…we can bring this virus under control and go forward together to tackle other challenges of our times."

In the same essay, however, Tedros warned that the response to COVID-19 is not enough to "address the global under-investment in essential public health functions and resilient health systems, nor the urgent need for a 'One Health' approach that encompasses the health of humans, animals, and the planet we share. There is no vaccine for poverty, hunger, climate change or inequality."

At Operation Smile, we've learned that the time is always right to invest in systems with the aim of making them more resilient and responsive to the needs of the people they are intended to serve. But only a global response will yield the kind of impact we desperately need to stop COVID in its tracks and end the pandemic.

As the old saying goes, "to whom much is given much is required." Today, more than ever, global health stakeholders and international development actors must step up and provide the financial and human capital needed to build public health systems that can respond to emerging health needs efficiently and effectively. There's a not a moment to waste.

(Photo credit: Operation Smile)

Ernest Gaie_operation_smile_philantopicErnest Gaie serves as senior advisor for global business operations at Operation Smile.

5 Questions for...Helene Gayle, President and CEO, Chicago Community Trust

February 26, 2021

In Chicago, recovery from the Great Recession was uneven, the lingering economic impacts of the downturn most keenly felt by low-income individuals and Black and Latinx communities. A dozen years on, the COVID-19 pandemic has been equally as devastating for many of those communities, exacerbating disparate economic and health outcomes that all too often are the legacy of structural racism and decades of disinvestment.

To ensure that a post-pandemic recovery does not leave low-income and Black and Latinx communities even further behind, the Chicago Community Trust recently launched Together We Rise: For an Equitable and Just Recovery. Having received more than $37 million in commitments to date, the initiative is working to bring partners from philanthropy, business, government, the nonprofit sector, and local communities together to ensure that those hardest hit by the pandemic are able to build back better and stronger.

PND spoke with Chicago Community Trust president and CEO Helene Gayle about the initiative, some of the lessons we've learned from the pandemic, and what the trust is doing to ensure a more equitable post-pandemic recovery in Chicago and beyond.

Headshot_Helene Gayle Portrait-5QsPhilanthropy News Digest: Tell us about Together We Rise? What is your vision of what success looks like?

Helene Gayle: If you look at the recession of 2007-08, communities of color and communities that were financially fragile and insecure never fully recovered; indeed, they were left further behind. With Together We Rise, we want to make sure those communities don't get left behind this time and that we have a more equitable approach to recovery post-pandemic. We also hope it will be a model for other cities.

Looking at the issue of unemployment, for instance, we are looking at how recovery dollars get distributed to Black and Latinx households and communities, which have been especially hard hit, and at things like small businesses, which, as is painfully clear from the number of business closures in the city, have been disproportionately impacted. Making an impact in these areas means working with communities to build back better than before and helping them develop resilience so that they're better able to weather the next crisis, whatever it might be.

Our vision is to facilitate change that will be noticeable across the community. We want people to see businesses coming back, we want families to be more financially secure and Chicagoans to be able to get jobs that pay well and help them support their families, and we want to stimulate investment in neighborhoods where disinvestment has been the rule. And we hope that we achieve those things in a way that shows members of the community and public officials and other stakeholders that, as a result of the initiative, communities disproportionately impacted by the pandemic were able to bounce back in a way that they would not have without our focus on these issues.

PND: What kind of role did the pandemic and the killing of George Floyd play in the decision to develop and launch the initiative?

HG: Although tragic, COVID and George Floyd's death have been pivotal in raising people's awareness of the legacy of racism in this country. The pandemic clearly highlighted race-based inequities in access to jobs that pay a living wage, in access to affordable, quality health care, in the many structural factors underlying poor health outcomes in this country. And the killing of George Floyd and the sense of racial reckoning it catalyzed have amplified people's commitment to doing something tangible about racial inequity, particularly the economic consequences of the pandemic and issues like the racial wealth gap.

Clearly, one of the things to come out of this whole situation is a much greater awareness of systemic racism in the United States, how it's embedded in institutions and policies, and why it's so hard for individuals of color to get beyond all that. I mean, so many of our systems were set up to keep some populations of color back while giving a leg up to others. With Together We Rise, we're trying to tackle some of these issues, recognizing that while individuals are part of the equation, the real problem is at the institutional and systemic level.

PND: In a recent op-ed, you outlined some of the ways we could begin to address historical race-based inequities — for example, by enforcing and strengthening the Community Reinvestment Act, investing more in public transportation, investing in job creation in low-income communities, and expanding eligibility for the Earned Income Tax Credit. What can CCT and other philanthropic organizations do to make sure the Biden administration is listening and acts on your recommendations?

HG: We've been working on these issues for a long time, but they are also issues that are important to the new administration. President Biden and his team have put economic recovery post-pandemic at the top of their list of priorities, and we're going to continue to push them to move on things that we think will make a difference in closing the racial wealth gap, help close the gap in household wealth, increase investment in communities that have been ignored, and give communities a greater voice in deciding how federal dollars are allocated. All of these are things we'll continue to focus on, and we know they are priorities for the new administration as well.

PND: With coronavirus vaccines being rolled out in communities around the country, what do you think we might be overlooking in our fight against the virus, and what do you think needs to be done over the coming months to address the continuing damage caused by the pandemic?

HG: What was most lacking in the country's response to the virus in 2020 was a clear, consistent national strategy that gave people the information they needed to protect themselves. That would have gone a long way to getting us all rowing in the same direction and saving an untold number of lives. It's one of the things I expect to see under the new administration, and we're starting to see it with vaccine distribution, that kind of all-hands-on-deck effort coordinated at the national level, in partnership with state and local public health officials. That kind of coordinated effort is critical in rolling out vaccines effectively, and it will also help us in our overall COVID prevention efforts.

PND: What are the lessons we should take away from the pandemic? What have we learned that we shouldn't forget?

HG: We've learned a lot about how to engage communities that are hard to reach. We've learned a lot about how to work with community organizations to build trust and get the support of communities that are used to being ignored or neglected. Building trust is incredibly important if the vaccine rollout is to be effective. We know that 58 percent of African Americans nationally say they won't take the vaccine, even though African Americans have been among the hardest hit by the virus. So we really have to focus on and lean into how we are working with those communities and make sure we're doing so in a way that builds trust, not only for the duration of this pandemic, but for the next crisis and the one after that.

Matt Sinclair

If 2020 taught us anything, it’s that local organizations are our best bet in fighting hunger

February 04, 2021

Global foos insecurityFive years ago, less than 2 percent of funds for humanitarian causes went directly to local and national NGOs, despite the incredible efficiency of these organizations in delivering impactful work at times of great need. Progress has been made — indeed, in 2020, a little more than 21 percent of funds were given to these organizations. But if 2020 has taught us anything, it is that investing more in local NGOs is crucial to achieving success, especially in the effort to eradicate hunger.

Currently, two billion people do not have regular access to safe and nutritious food. My organization, The Global FoodBanking Network, supports and empowers national and local food banks in more than forty countries by equipping partners with solutions, capabilities, and funds that accelerate food assistance. In 2020 alone, we saw more than 27 million people in forty-four countries — most of which are in emerging or developing economies — rely on food banks within our network during the pandemic. This represents a 63 percent increase from the previous year.

The reliance makes sense: food banks are led by local civic leaders who are embedded in their communities and can uniquely respond to their community's needs.

Time and time again, I've seen food banks play an integral part in building resilient food systems and strengthening the communities where they are based. I have seen them nourish children through innovative school feeding programs, contribute to families' diverse diets by sourcing and offering nutritious food, and engage local farmers, businesses, and government in their work to alleviate hunger. These local organizations offer programming that not only provides their neighbors with meals but also with job training, childcare, education, and health interventions, extending their impact and helping build a sustainable future.

As we begin to look toward a future beyond COVID-19, a future that will still be rife with other problems, especially hunger, we must determine how we can better offer solutions. I believe we should start by investing in local organizations, which are often the first to respond at a time of crisis and the last to leave as the crisis subsides, continuing to provide much-needed aid to those who need it. Building local organizations means strengthening communities, building resilience, and increasing self-sufficiency.

With more support, local organizations can continue to ramp up their services while coping with the increase in demand for food and a drop in product donations due to disruptions in regional supply chains. If given the resources, they can grow their capacity to reach their neighbors in need more quickly over the long term.

On the frontline of disaster relief

Local hunger organizations are often the first to respond when disasters strike. They have unparalleled insight into the needs of the populations they serve and are able to  quickly mobilize resources to provide aid where it's needed most.

In January 2020, the bushfires in Australia left thousands of people homeless. Foodbank Australia was activated as the government’s official emergency food and water relief organization, deploying volunteers and personnel to serve eight hundred thousand displaced people immediately. Last fall, the Philippines was hit by four typhoons in just three weeks. Good Food Grocer, the local food bank, worked with its existing partners and distributed emergency relief boxes that provided more than twenty-seven hundred families in Tiwi, Albay with a supply of fresh fruit, non-perishable foods, and personal hygiene products. In each case, local organizations with expertise in food recovery and redistribution were a linchpin in the official government response.

Logistical expertise

The most vulnerable communities are often the hardest to reach; in almost every instance, local organizations are the best at finding ways to deliver aid to remote towns and villages.

In Brazil, food bankers at Mesa Brasil SESC navigate the Amazon River to bring food stocks via small boats to Indigenous peoples, whose trust they've gained over time. Meanwhile, in South Africa, FoodForward SA has set up a Mobile Rural Depot Program that sends trucks filled with shelf-stable food products and fresh fruits and vegetables and delivers to rural communities hundreds of kilometers from the nearest food bank. These types of creative solutions to challenging logistics exemplify the creativity and ingenuity of local food banks.

Community partner

Local organizations understand their communities' greatest needs and know how to work with stakeholders to achieve the best results. For example, Zomato-Feeding India recognized early on during the pandemic the devastating impact lockdowns would have on India's daily-wage laborers. On the very same day that the national lockdown was announced, the organization launched a campaign to provide ration kits to daily wagers and their families. The kits provided enough food and other essential items for a family of five to have three meals a day for seven days. The items were purchased and sourced from local suppliers and distributed to families through multiple stakeholders, including national and local NGOs, municipal corporations, state governments, and city police. Because of Zomato-Feeding India's multi-sector approach and ability to anticipate an impending hunger crisis, the organization distributed more than 78.6 million meals to Indians in ahundred and eighty-one cities.

The pandemic's full economic and humanitarian impact on countries remains to be seen. As a result of the public health crisis, the Food and Agriculture Organization of the United Nations predicts that an additional 83 million to 132 million people will be pushed into hunger this year, and the International Labour Organization estimates that hundreds of millions of people remain under- or unemployed. When COVID-19 brought economies and society to their knees, local organizations such as food banks rose to the challenge. As you reflect on your 2020 giving and think ahead to the world you want to shape in 2021, I encourage you to consider local organizations such as food banks. The philanthropic community can help these organizations build their capacity and scale their effectiveness to recover more food and reach the most vulnerable populations. Investing in hunger relief today means we will have stronger communities tomorrow.

Headshot_Lisa MoonLisa Moon is president and CEO of The Global FoodBanking Network, an organization that serves the world's hungry through support for food banks in more than forty countries.

2020: A year to remember

February 03, 2021

Social-media-engagementI've spoken often about how people get involved in social causes. And despite the turmoil we experienced in 2020 and the competing demands on our attention, I believe more strongly than ever that social issue engagement begins and deepens in predictable ways.

The steps look something like this:

 

1. We hear about a social issue or cause that intrigues or moves us and get to work learning everything we can about the issue;

2. Energized by what we've learned, we take a small action to demonstrate our support for the issue or cause

3. Now fully committed to the issue or cause, we look to band with others — in the real world, virtually, or both — to pressure stakeholders, industry, and/or government officials to act.

Because they represent a natural progression from initial interest to full engagement, each step is both a destination and a link to the step that follows.

Let's take a closer look.

Social Issue Engagement

You become aware of an issue and what others are saying. The first step toward having a position on any issue is to educate oneself about the issue. Whom does it affect? What are the possible positions I could take? What are people in and outside my networks saying about the issue? Is everything people are saying accurate? Do I have enough information to form a sound opinion?

As we've seen in our Cause and Social Influence research over the years, the sources and veracity of the information young Americans use to educate themselves about an issue are changing. With the racial equity protests in 2020, for instance, Black Americans responded more to statements and calls to action from organizations they already followed online or to comments in online forums by their peers than from broadcast news or social media advertising. During the presidential election, on the other hand, young Americans reported being most influenced by social media — even though 87 percent of respondents to our survey agreed with the statement that social media platforms "often" or "very often" propagate false or misleading information and statements.

There are 3.8 billion social media users in the world, a number that's increasing more than 9 percent a year. Yet according to the Digital 2020 report from We Are Social, social media penetration (users per capita) is still only 49 percent. Which, fake news concerns notwithstanding, means social media as a go-to source for information is here to stay.

You take a small action because it's easy. I've said this many times: In almost any situation, our natural inclination is to do the easy thing. Even when our empathy is triggered and we feel we must do something to help, we're usually happy to settle for the small, passive action; it doesn't take much to feel good about and convince ourselves we are helping the cause.

Our research bears this out. The top three actions young Americans took in 2020 to help others were to shop locally more than they had In the past, post or share content on a social media platform, and sign a petition. By performing these small acts, many young Americans felt they'd made their voice heard.

Band with others to pressure stakeholders, industry, and/or government officials to act. Although this deeper level of engagement is not for everyone, it is an opportunity for movement leaders, community organizers, and others to bring people from different backgrounds together to actively work to advance action on an issue or cause. For folks on the front lines of an issue, this is where real change happens.

The biggest takeaway from the research we conducted last year (see Cause and Social Influence 2020 Year in Review) was this: Young Americans believe the best way to bring about social change is to vote.

We also found that a high percentage of young Americans were donating to the issues and causes they support. Indeed, the giving participation rate for this cohort, which had held steady at 9 percent from 2017-19, doubled in 2020, with especially strong support for:

  • Animals/Animal Rights                             34%
  • COVID-19                                                     26%
  • Civil Rights/Racial Discrimination         25%
  • Healthcare Reform                                     23%
  • Climate Change                                           17%

Companies are on a similar journey

Companies and brands continue to take their own steps on the road to more robust civic engagement. Our finding that young Americans increasingly expect corporations to support issues and causes they care about and to be genuine in their support is echoed by the recent Social Trends 2021 report: "Being a purpose-driven brand isn’t something you can fake.... 60% of millennials and Gen Z plan on spending more money with businesses that take care of employees during the pandemic."

In other words, companies concerned about authenticity and transparency should look first to their own internal practices. Companies that want to be credited with socially aware and environmentally responsible policies should be sure they're walking the walk before they start talking the talk on social media or in their advertising campaigns.

After so many significant moments in 2020, some marketers began 2021 with lowered expectations; others are being extra careful not to say the wrong thing or strike the wrong tone. Nothing illustrates their concerns better than the decision by many brands to pull their Super Bowl advertising. Others, including teams at Pepsi, Budweiser, Ford, Olay, Hyundai, Coca-Cola, and Little Caesars, are starting the year with more of a corporate social responsibility mindset and planning to allocate some of their advertising dollars to boosting awareness of COVID-19 prevention measures and vaccination campaigns.

The more things change, the more they remain the same

Last February, before COVID was on most Americans' radar, I wrote about the many individuals who wished we could "return to a time when people knew right from wrong and were committed to liberty and justice for all." Little did I know what the months ahead had in store for us! But even then, I noted that levels of engagement shift based on a range of factors: individual perceptions of what is (and isn't) important, our understanding of the root causes of problems, and new ways to engage with issues and each other.

A year later, having witnessed any number of shattering moments and a fair amount of intense social upheaval, we find ourselves, in many ways, in the same place. Certainly, the way people engage with issues and causes hasn't changed. And the basic question remains: What have we learned from the past and how can we apply it to the future?

Headshot_derrick_feldmannDerrick Feldmann (@derrickfeldmann) is the founder of the Millennial Impact Project, lead researcher at Cause and Social Influence, and the author of the book The Corporate Social Mind. For more by Derrick, click here.

A Q&A With Jaime Merisotis, President and CEO, Lumina Foundation

January 26, 2021

Jamie Merisotis is a globally recognized leader in philanthropy, education, and public policy. Since 2008, he has served as  president and CEO of Lumina Foundation, an independent private foundation that is committed to making opportunities for learning beyond high school available to all. He previously served as co-founder and president of the nonpartisan Institute for Higher Education Policy and as executive director of a bipartisan national commission on college affordability appointed by the U.S. president and congressional leaders.

A frequent media commentator and contributor, Merisotis is the author of America Needs Talent: Attracting, Educating & Deploying the 21st-Century Workforce, which was named a Top 10 Business Book of 2016 by Booklist, and the recently published Human Work in the Age of Smart Machines. The Q&A is reprinted here with the permission of Lumina.

Headshot_jaime_merisotisQ: Since March, tens of millions of Americans have lost their jobs, bringing the United States' unemployment rate to its highest point since the Great Depression. The near-term pain is obvious, but how will this seismic economic event influence the workforce a generation from now?

Jaime Merisotis: Millions of people are now working remotely. Schools have shifted to online courses, leading to millions of students learning in what was once considered a peripheral method of education. While workplaces, schools, and colleges will eventually reopen, the idea that it is normal to "go" to work or school has likely changed forever. This shift away from brick-and-mortar spaces has a bright side that we should be ready to take advantage of, especially because online learning opens doors to many of today's students, who are more likely to be minorities, working full time, and caring for family members. In [Human Work], I wrote about Marcia McCallum, a single mother of four who went back to school to earn two associate degrees at a community college nearly thirty years after finishing high school. Online learning allowed her to juggle school, work, and family. Now McCallum doesn't have to do double-shifts waiting tables on the weekends. Instead, she works full-time for a biotech company growing cell cultures that are harvested for therapeutic antibodies. This is an example of how we can take advantage of this massive shift in the way we perceive school and work to serve everyone, not just those who can afford — financially or in terms of time — to get an education.

Q: What weaknesses in education systems and workforce training systems has the economic crisis highlighted and exacerbated?

JM: During the pandemic, we've seen that people who can work remotely are less likely to lose their jobs, and that the ability to work remotely is closely associated with education levels. Even before COVID-19 really hit, in April, unemployment for workers without a high school diploma had risen to 6.8 percent. But among those with at least a bachelor's degree, the unemployment rate was just 2.5 percent. That doesn't tell the whole story. Fifty-four percent of people with master's or doctoral degrees can work remotely; the share of people who can work at home drops to 39 percent for workers with bachelor's degrees. For workers who don't have at least a bachelor's, the number bottoms out at 20 percent. The lesson we should draw is that higher levels of education — and the skills and attributes they help people develop, including the ability to communicate, motivate themselves, and work in teams — prepare workers to adapt to the changes in the workplace, today and in the future.

Q: What should the U.S. government be doing right now to help people develop the capacity for human work?

JM: It has never been more important for the federal government and states to be aligned on these issues. States have an especially big hill to climb, because more than forty states and the District of Columbia require balanced budgets. To balance them, states have two major levers: massive layoffs of state employees or raising taxes. Programmatic cuts, by themselves, won't be enough. More important, given the forty-plus million Americans who filed for unemployment because of shutdowns related to the pandemic, the political consequences will be enormous. I don't see any reasonable path forward without a massive infusion of federal dollars to states. And that massive federal infusion cannot be used simply to prop up the "existing system." That system has failed too many Americans for too long. That was the mistake of the last recession: most of the dollars the feds gave states were used to prop up underperforming systems. This time, we should invest massively in generating real results. This includes big investments in community colleges that award associate degrees and short-term credentials for the people in retail, hospitality, and other heavily impacted industries, because many of those jobs will not return. Any additional federal stimulus efforts also should focus on the human work skills that will be necessary for success in the new economy. And these investments must focus on the economic needs of workers and the growing racial disparities highlighted by the spread of the coronavirus. The policy options that are weighed cannot be a "return to normal" because we know "normal" for most of the world is not something people want — they want and deserve much better.

Q: In Human Work, you suggest the need for a large-scale rethink of higher learning and workforce-training programs. Can this crisis force us to be bolder? Are there changes you support that are likely to be adopted after the crisis is over?

JM: I fear many still believe the end of the crisis will bring a return to "normal." But for our systems of learning and preparing people for work, returning to the old normal would be disastrous. People will need new skills, new ways of engaging with their communities, and new ways of relating to one another. The crisis clarifies that we need to make opportunities for work-relevant learning available to every American, regardless of wealth, race, age, or geographic location.

Some colleges are already reinventing themselves to meet the needs of a new generation of students. In the book, I wrote about Amarillo College in the Texas Panhandle. Ten years ago, the college had a graduation rate of 9 percent. Russell Lowery-Hart, now the president of the college, discovered that issues such as child care and transportation were the biggest hurdles for students, so he set up a series of "wraparound" support services to meet students' needs in non-academic areas. Today, the completion rate at Amarillo is 52 percent. Lowery-Hart's most important insight was that colleges have to address students" life circumstances; it's an especially important lesson as the tumult of the last year upends students' academic pursuits.

Q: You write about "learning, learning, and serving" throughout the book and, in places, offer an almost spiritual take on the dignity of work. Can you explain why continuous learning is so integral to developing meaningful human work?

JM: We live in a complex world. It's not just that employment requirements are changing in ways that demand higher levels of thinking and skill. The knowledge, skills, and abilities people need to develop also are needed to help address the issues we face as a society and the problems we see in our communities. The only way to meet this challenge is through continuous learning on a vast scale. Fortunately, we are hard-wired to learn, just as we are to work and serve. I found a great example of one such "learning organization" in what many might consider an unlikely place: state government. For the past decade, the state government in Tennessee, which employs forty-two thousand workers, making it the largest public employer in the state, has made a huge commitment to offering learning and training opportunities to its employees. But instead of doing one-day job fairs, the state created twenty-eight different state leadership academies, ranging from management training to programs designed to groom younger employees for future leadership opportunities. Trish Holliday, the leader of this  training initiative, says what's most important is that state government has undergone a cultural change and no longer sees workforce training "event-driven" but rather as something that happens all the time and that one builds on throughout his or her life.

Q: New technology and automation have been eliminating jobs for decades. The accelerating pace of technology adoption is likely to displace many workers over the coming decades or force them to work differently. What should retraining look like? And who's responsible for making it happen?

JM: Even the term retraining is obsolete. We have to keep learning throughout our lives. Required work skills constantly change, even for people who don't switch jobs. One problem is education and training continue to be viewed as fundamentally different and separate systems, and whatever people learn in one system is not recognized by the other. The answer is that education and workforce training must be redesigned as a broad, integrated system focused on meeting the needs of individuals.

There already are companies and education providers creating local initiatives to integrate work and learning. In the book, I wrote about an apprenticeship program near Charlotte, North Carolina. The program at Blum, Inc., a manufacturer of high-tech latches and hinges for cabinetry, encourages workers to attend classes at the local community college. At the end of their apprenticeships, workers have jobs with the company, an associate degree from the college, and a journeyman certificate from the North Carolina Department of Commerce they can take with them if they switch jobs.

Q: What are some examples of companies — or even countries — promoting individuals' deeper potential? Is anyone taking the right approach to developing the capacities of human workers who increasingly must deal with automation and AI?

JM: Absolutely. In Tennessee, the Lee Company, a family-owned air-conditioning, plumbing and electrical business with more than $22 million in annual sales and fifteen hundred employees, makes a point of helping its workers thrive. After the recession ten years ago, the company created "Lee Company University," a training program that offers employees a free, structured four-year program leading to an industry-recognized certification and journeyman license. Another example, this one a large publicly-traded company: Cummins, Inc., which makes diesel engines and power-generation equipment, is a $26 billion annual business with sixty thousand employees around the globe. Based in Columbus, Indiana, the company employs collaborative robots, or "cobots," alongside its human employees, freeing the latter from repetitive or physically taxing tasks. In Seymour, a town of about twenty thousand in southern Indiana, the company has created partnerships to improve education, amenities, and  quality of life. These include improved pre-kindergarten offerings, more walking and biking trails, and initiatives to attract more businesses to downtown.

The companies that will flourish in the future are those that take an interest in developing their talent by positioning it for the meaningful work only humans can do while also recognizing that people want to be involved in their communities, continue to learn, and live fulfilling lives.

Q: How do you make all companies see the benefit of taking a broader interest in their employees?

JM: To spread these ideas, companies need to talk with each other about the benefits of talent investments in driving their success. Employers can take charge of their companies' futures by defining exactly what abilities and skills workers should possess, and how to develop and attract that talent. Companies must take steps to ensure their workers can fully develop their knowledge, skills, and abilities over the course of their careers and lives, regardless of the structure of their work. Learning for life will be an integral part of the work of the future, and employers need to ensure everyone has the opportunity to participate. Companies can literally make money as a result of investing in human work. Lumina hired a global consulting firm a few years back to explore the financial benefits of investing in tuition assistance. One employer, Cigna, found that employees who had participated in its education program were more likely to be promoted and were significantly more likely to be transferred and retained, resulting in higher pay for them while saving the company money. Even after accounting for program expenses, for every dollar Cigna had invested in employee education, the company received its original dollar back, plus another $1.29, all in the form of talent management cost savings.

Q: If you could press a button and make a single change in education or workforce training, what would it be, and why?

JM: The durable Rahm Emanuel quote applies here: "You never want a serious crisis to go to waste." We cannot drift back into familiar ways of thinking out of a misplaced desire for normalcy. We made a massive and sudden shift to remote work this year across large swaths of the economy. Now we need to re-engineer work in ways that create a better work-life balance while also respecting the environment and our global climate. We made an incredibly rapid shift to large-scale online learning, but now we need to redesign programs and curricula to take advantage of the technology available to offer better and more robust learning environments for all students. Similarly, we responded to COVID-19 as a society by changing individual behaviors on a previously unanticipated scale to protect public health. Now we need to find ways to allow everyone to make that kind of difference by serving others. Bit by bit, we are starting to see a new path forward. Our objective now should be to consolidate these gains into a unified system of earning, learning, and serving others.

How human services charities stepped up and filled the gap in 2020

January 18, 2021

Sharp_chula_vista_medical_centerHuman services charities provided an essential lifeline in 2020 to millions of Americans grappling with the economic and health impacts of COVID-19. Indeed, the unprecedented events of the year reinforced the deep-seated value and tangible impact of organizations that support populations in need, from nonprofits operating homeless shelters and food banks to those providing services to the disabled and elderly.

This was especially true of populations supported by the Gary Sinise Foundation, a 501(c)(3) serving veterans, first responders, service members, and their families.

When the economy cratered and the unemployment rate soared in the spring, the foundation quickly saw an uptick in requests for financial assistance — an uptick that became a tsunami by the fall. Their stories were heartbreaking: many had fallen behind on their rent, mortgage, or car payments and were facing eviction or repossession. For others, purchasing groceries for their families came at the expense of making payments on already-overdue bills.

The employment picture for many was similarly bleak. Some of the people we heard from had been furloughed indefinitely or let go from their job, while others were unable to enter the job market because of family obligations at home.

At the Gary Sinise Foundation, we responded to the growing number of requests for help by launching a campaign focused on our constituents.

During a four-month span beginning in April, the Emergency COVID-19 Combat Service campaign delivered 60,795 free meals to hospitals, Veterans Affairs medical centers, and military bases in the U.S. and overseas. At 313 locations across the country, including 273 hospitals and 145 Veterans Affairs sites, pre-packaged meals nourished overworked doctors, nurses, and other medical professionals on the front lines of the pandemic. American troops and their families stationed in Germany and Korea were among those who received meals.

Grant funding distributed through the campaign also provided a lifeline for first-responder departments — particularly those in rural America and volunteer departments supported by a small tax base — enabling them to purchase protective equipment, including N95 face masks, face shields, and gloves. All told, more than $480,000 in grant funding was distributed to fire and police departments in twenty-seven states.

In a relatively short period of time, more than $1.4 million was raised by the campaign despite a raging pandemic and a battered U.S. economy. And those weren't the only challenges. A polarizing U.S. presidential race and bitterly contested election saw donations to the campaign ebb and flow, much as they had in the summer in the wake of racial justice protests sparked by the killings of Ahmaud Arbery, Breonna Taylor, and George Floyd. Still, the campaign went on, enabling the foundation to consistently deliver financial aid and other forms of support to veterans, Gold Star families, first responders, and others impacted in one way or another by COVID-19.

No year in recent memory has presented as many challenges as 2020 to the institutions and core identity of the United States. And yet no year has been as rife with opportunity for human services charities to step up in new and creative ways to help millions of Americans who are struggling.

Given the critical role these organizations play in their communities and the void they fill when resources and funding at the local, state, and federal level are stretched, it's clear they must continue to adapt their services in 2021 to the economic and political realities stemming from the ongoing public health crisis. They will need our support to do so.

There really is no choice. Too many people are counting on us.

(Photo credit: Sharp Chula Vista Medical Center)

Brandon_black_gary_sinise_foundation_PhilanTopicBrandon Black is senior communications writer at the Gary Sinise Foundation.

5 Questions for...Lisa Mensah, President and CEO, Opportunity Finance Network

January 15, 2021

After serving for two years as under secretary of agriculture for rural development in the Obama administration, Lisa Mensah joined Opportunity Finance Networka leading network of community development financial institutions, as president and CEO in March 2017. In November, with a $100 million investment from Twitter, OFN announced the launch of the Finance Justice Fund, a socially responsible investment fund aimed at raising $1 billion in grant capital to address racial injustice and persistent poverty in the United States. 

PND asked Mensah about the initial response to the fund, the impact of COVID-19 on the efforts of community development financial institutions, and the persistent lack of investment in rural communities.

Lisa_Mensah_squarePhilanthropy News Digest: What kind of response to the Finance Justice Fund have you gotten from corporate and philanthropic investors since the fund's launch in November? And are you on track to meet your fundraising goal?

Lisa Mensah: It's been wonderful to see the strong interest from both corporations and philanthropies in the work we're doing to finance justice. OFN is in discussion with potential new Finance Justice Fund investors; some of them are new to the CDFI industry and some are longtime partners. All understand that now is the moment to invest in Black and minority communities — the nationwide call for economic justice is louder and stronger than ever. We have a path to meeting our $1 billion goal and expect to announce new investment partners in the first quarter of 2021.  

PND: What was the genesis of the fund? Was it in the works before COVID-19 was declared a public health emergency and nationwide racial justice protests erupted after the killing of George Floyd last spring, or was it created in response to those twin crises? 

LM: Justice takes money, and CDFIs exist to finance justice. Our field started as a small grassroots movement to counter discrimination in banking and investing — the earliest CDFIs were created to provide financial services and support to people that banks wouldn't or couldn't serve. We've grown into a $222 billion industry that works to address longstanding disinvestment, the racial wealth gap, and persistent poverty by investing in people and communities left behind by mainstream finance. So the roots of the fund are really in our industry's history and unique role as community lenders. 

For years, OFN has been advocating for more public- and private-sector investment in communities underserved by mainstream finance. Since I joined OFN in 2017, we've been listening to our CDFIs and exploring new programs that would help the industry go bigger and bring new partners to our work. Then 2020 happened. 

The overlap of a pandemic-related economic crisis that disproportionally hurt low-income and minority communities and widespread calls for social justice put CDFIs front and center as a way to address both. The forces of 2020 — and interest from new corporate partners like Twitter — accelerated our plans. 

The Finance Justice Fund is just one result. In March 2020, OFN also welcomed Google as a partner: With OFN as the intermediary, the company is investing $170 million from its corporate treasury and $10 million from its philanthropic arm into CDFIs to help minority and women-owned small businesses. This mix of debt and grant capital is the type of investment we need to scale. 

PND: How has COVID-19 impacted OFN's and member CDFIs' programs and priorities? Are there lessons learned that might be applicable to the broader nonprofit sector?   

LM: The communities CDFIs serve are the communities that have been hurt most by the economic and health impacts of the pandemic, and so they have been very busy. 

From the very beginning of the crisis, OFN — the organization of thirty-five staff members and the network of more than three hundred CDFIs — understood the threat facing our communities and borrowers. In response, our member CDFIs have established new ways of providing services and support to borrowers. They have been proactive about easing the economic disruption for America's smallest, most vulnerable businesses, nonprofits, and homeowners, making loan accommodations, and standing up new loan programs. Many CDFIs have also helped small businesses adjust their business models to meet the new realities of stay-at-home mandates and changes in customer behavior. Our response from the beginning was focused on survival and recovery for our communities. 

One lesson for our industry and the broader nonprofit sector is that recovery from a major crisis demands partnerships, and that when those partnerships are strong we can move America forward. The last ten months have seen new partnerships with philanthropy, impact investors, corporations, and government. Never again should the CDFI field think of itself as insignificant. We must see ourselves as essential partners to the big work of having an economy that works for all. 

PND: The phrases "racial injustice" and "communities with high rates of poverty and disinvestment" are more often associated with urban, rather than rural, areas. What's behind that disconnect, and what are the implications — for rural communities in general, and for BIPOC residents of those communities in particular? 

LM: The truth is that racial injustice and high rates of poverty and disinvestment exist in both urban and rural areas. Persistent poverty in America — extreme poverty rates of more than 20 percent for more than thirty years — exists in more than ten thousand census tracts, roughly 14 percent of all U.S. neighborhoods. It has a strong hold in many rural communities: 19 percent of areas characterized by persistent poverty are rural, and millions of rural people live in persistent poverty. We also don't hear much about the racial diversity that exists in rural America. We don't think of Native communities or Black communities or Latino communities when we think about rural America, but these are vibrant and important populations in rural America.

I've focused on rural development for much of my professional life. One of the key questions is how to alleviate and begin to reverse the economic distress that has been driven by the systemic loss or contraction of major sectors of the economy such as agriculture, forestry, mining, and manufacturing. The community developer's challenge is to find ways to create wealth and livelihoods by reinvigorating local economies and connecting to larger urban/regional markets. CDFIs do this but also retain a racial equity lens and are willing to make loans to the communities and people who have too often been ignored. This is true in both rural and urban areas. 

And, of course, rural and minority communities live under the double-edged sword of poverty and racism — they've suffered the most historically and suffer the most from crises like COVID-19, climate change, and economic upheaval. 

PND: Your career has spanned the private, public, and social sectors, and you've led collaborative efforts across all three sectors. What has been your North Star in your work over the years? And what are your hopes for the incoming Biden administration with respect to policies that support racial and economic justice?   

LM: Economic justice has been my North Star — for me, that means fighting for financial capital to reach all people and communities. Financial capital is the fuel that drives economic opportunity, and I'm on a lifelong journey to help make sure that the allocation of capital is inclusive. 

I have many hopes for the Biden administration. It is exciting to see the administration embrace a goal of advancing racial equity and then to define this goal as spurring investment in small business opportunities, investing in homeownership and access to affordable housing for Black, Brown, and Native families, and ensuring that racial equity is considered in federal procurement and federal investments in infrastructure, clean energy, and agriculture. These are all policies to which CDFIs have much to contribute.  

CDFIs understand that government policies helped create the racial wealth gap and government policies must help end it. In the last week of 2020, Congress passed a historic government investment in CDFIs as part of the most recent COVID relief bill: $12 billion for CDFIs and minority depository institutions (MDIs). This is a giant step forward for our industry and the communities we serve. But injustice is persistent and tenacious, and we won't undo it with one bold step.

So, I'm considering that federal investment as a down payment, and I hope we can build on it in the months and years to come.  

— Kyoko Uchida

Prioritize public education in our philanthropic COVID-19 response

January 12, 2021

Children_sky_square_GettyImagesWith the arrival of effective vaccines against COVID-19, the end of the pandemic may finally be in sight. Yet the crisis in public education, one deeply exacerbated by the virus, will continue to wreak havoc beyond 2021.

If they have taught us anything, the last ten months have taught us who and what is essential. As people who work in philanthropy, who care about the future of the country, and as moms, we know that our kids and those who teach them are essential. And yet we as a country are not paying nearly enough attention to the public education crisis unfolding before our eyes — or responding to it as the emergency it is.

Here is what we know: More than fifty thousand students in the Los Angeles Unified School District never logged in to online learning during the spring, and there was a dramatic increase in middle and high school students failing classes in the fall. In Montgomery County, Maryland, almost 40 percent of low-income ninth-grade students failed English in the fall, and McKinsey estimates that Black and Latinx students will lose an average of eleven to twelve months of learning by June if the current state of affairs persists.

Here's what else we know: While learning remotely is not easy for any child, the learning losses from school closures and distance learning are not evenly distributed. As working mothers, we've seen first-hand the difficulties distance learning imposes on children and families, even those with significant privilege in the form of economic security, reliable broadband Internet access, quiet(ish) spaces to study, and parents who are working at home and can help their kids with schoolwork. Most children are not so lucky.

Nationally, nearly sixteen million school children lack adequate Internet service or don't have a device that connects to the Internet. In Los Angeles, where we live and work, at least one in four children in high-poverty schools lacks reliable high-quality Internet access, making it functionally impossible for them to participate in a meaningful way in school. Parents who risk their health every day in essential low-wage jobs have no realistic way to support their children through the daily challenges of distance learning. Meanwhile, students from wealthy and upper-middle class home have been able to resume in-person schooling even as high-poverty schools in the same city remain shuttered. The result is that students from poor and working-class families — kids who deserve and most need quality public education — are falling ever further behind their more fortunate peers.

While this is not a problem that philanthropy alone can solve, those of us with access to resources must find creative and strategic ways to show up for kids. All kids.

In the early days of the pandemic, we saw the difference philanthropic dollars could make. While federal stimulus funds and federal emergency funds allocated to the states took weeks and, in some cases, months to reach those most in need, public-private partnerships in many places were able to move quickly and efficiently to distribute funds. Here in Los Angeles, a group of more than thirty nonprofit organizations came together to form One Family LA after it became clear that low-income and immigrant families would be the most vulnerable to both the health impacts and economic devastation caused by the virus. In the weeks after the One Family was created, and before federal stimulus funds were fully disbursed, the organization was able to move quickly and distribute over $2 million in emergency relief funds to more than forty-five hundred families in need.

But the emergency is far from over. So what can philanthropy do to make a meaningful difference? How can it encourage and support educators and school district leaders to take the longer view that will be needed to recover from the pandemic even as they struggle to manage a seemingly endless list of day-to-day challenges?

First, philanthropy can use its greatest assets — nimbleness, creativity, and the freedom to take risks — to amplify the bright spots that already exist in public education. Chicago Public Schools recently partnered with philanthropists and community organizations to launch a $50 million program aimed at bringing free, high-quality Internet access to every student who lacks it. We know that things like intensive tutoring reliably help students from lower-income households make major academic gains. Philanthropy should partner with schools and school systems to get tutoring pilot programs off the ground, and efforts like these should be replicated by local leaders in communities across the country, with philanthropy providing seed funding and helping to disseminate best practices across city and state lines.

Second, in the months ahead, philanthropy must use its platforms to promote and fund advocacy work that keeps education at the forefront of the state and federal funding conversation. If we believe that creating a more equitable education system is critical, we need to make investments that articulate and put that priority in front of our elected officials. With so many health and economic challenges facing the country, this year's elections barely touched on the topic of education. Public schools across the country are doing the best they can, but they can't shoulder it all on their own. Ignoring months of learning loss and looming budget crises at the state and district levels is asking educators to do too much with too little.

In his book Our Kids, writer and political scientist Robert Putnam explored the many ways in which housing segregation and growing economic inequality have dissolved the social fabric that used to support poor and working-class children. And while most communities used to have a sense of collective responsibility for all children in the community — all kids were "our kids" — now when we speak about "our kids" we usually mean only the kids in our nuclear families.

We will never build the public-school systems we need or the society we want to live in unless we recapture that sense of collective responsibility for all children. While philanthropy is not an appropriate long-term substitute for robust city, state, and federal funding, it needs, at this moment, to prioritize public education in its COVID-19 response investments. At Fundamental and Great Public Schools Now, we are doing just that, because we know it's the best investment we can make for our families, for society, and for all our kids.

(Photo credit: GettyImages)

Ana Ponce_Rachel Levin_philantopicAna Ponce is executive director of Great Public Schools Now, and Rachel Levin is president of Fundamental.

DAF donors showed us who they were in 2020 

January 11, 2021

Money_seedlingGrantmaking from donor-advised funds (DAFs) is up — and it's up enormously. At National Philanthropic Trust, our grant dollars doubled in 2020. Other DAF sponsors reported a similar pattern. What is it about DAF donors that makes them respond so robustly to a crisis? And is this pattern of giving sustainable?

Here are three important lessons we learned about DAF donors in 2020 and why they should matter to nonprofits in the coming years:

1. DAF donors mobilize quickly. Americans have always had a giving impulse; they want to help in the face of challenges such as natural disasters, community emergencies, and neighbors in need. Giving in 2020 was marked with a different kind of urgency and qualifies as the most widespread and sustained form of "disaster giving" I've witnessed over more than four decades working in philanthropy.

The first COVID-specific grant recommendation at NPT came in early March. Within days there were dozens more, and after a few weeks we'd sent out millions of dollars in grant checks. The ability to recommend grants quickly has made an enormous difference in our donors’ philanthropic response and their willingness to support more causes than ever before.

Why it matters to charities in 2021: Swift and impactful grantmaking is certainly a credit to our donors' generosity, but it's also a testament to the organizations that are effectively communicating and addressing critical community needs.  Anecdotally, we know that donors respond to appeals that help meet a specific need — the more hyper-local or hyper-targeted, the more donors understand the impact their support will have.

At the beginning of the pandemic, we saw unrestricted grants flowing to emergency funds at community foundations, hospitals, and research institutions. Those organizations were communicating specific needs: assisting out-of-work hospitality workers in the community, providing childcare for nurses, funding treatment and prevention research. The summer surge of grants in response to calls for social justice mirrored the same sense of urgency, whether it was bail funds at established organizations already engaged in social equity work or racial literacy programs in schools. Organizations large and small continue to communicate what they need and highlight the impact donor dollars are having, attracting even more of those dollars and earning donors' trust.

2. DAF donors are committed to the long-term viability of nonprofits. DAF donors are committed philanthropists. We see this in the grants they recommend. In the aggregate, DAF grant dollars have increased nearly 100 percent in the last five years. We also see it in the payout rate from DAFs. Grant payout, which is a function of how much donors grant from their DAFs relative to total assets, has been above 20 percent for the last fifteen-plus years. This means DAF donors give generously and consistently — across economic cycles, election cycles, and in the face of great challenges.

This was true in 2008 when charitable giving writ large dropped but DAF grantmaking increased, and we are seeing it again in 2020-21. Other signals of long-term commitment? More donors than ever plan recurring grants — whether monthly, quarterly, or annually — to their favorite organizations. Over 15 percent of grants from NPT in 2020 were part of a recurring grant structure, a 34 percent increase from 2019. Recurring grants are a sustainable and predictable way to support nonprofits over the long term. Donors are making unrestricted grants more than ever, too. The number of unrestricted grants  NPT made was up 56 percent in 2020 and the dollar value of those grants jumped a whopping 254 percent. These increases are elements of what is known as "trust-based philanthropy," in which donors understand that charities know their constituents and causes better than anyone and trust them to do what is best to meet their immediate needs.

Why it matters to charities in 2021: To keep those regular, unrestricted dollars flowing, charitable organizations have to continue making their case for support. Communicating with donors — not DAF sponsors — to thank them and keep them engaged is critical. Although DAFs can technically give anonymously, the vast majority (at NPT, it's 97 percent) are made with the donors' names included. It's also good practice to engage every DAF donor, regardless of the size of the grant you receive. The most recent data shows that the average DAF account size is around $166,000, meaning today's sustaining donors could be tomorrow's major-gift donors.

3. DAF donors are "AND type people." DAF donors don’t look at their philanthropy through an either/or lens. They don’t choose either their longstanding favorite charity or a new one; they tend to support both. They don't have to choose either giving today or leaving a legacy tomorrow, they recommend grants now and invest for more grantmaking later. This year has highlighted exactly how important flexibility in philanthropy can be. Instead of making trade-offs, our donors recommended more grants — by volume and dollar value — in every interest area.

Why it matters to charities in 2021: If DAF donors are part of your donor base already, keep them informed and continue to solicit them for support. If they’re not, include them in your regular communication. DAF donors are open to supporting new charities and are upping their grants dollars in the face of today's challenges. The two most important ways to appeal to DAF donors are:

Make it easy. Include DAF language on your website and in your appeals like "send a check or recommend a grant from your donor-advised fund." Not only does this remind donors that your organization is eligible for support from DAFs, but it also suggests sophisticated fundraising knowledge and strategy.

Don't feel constricted by time or season. DAF donors have already signaled their commitment to philanthropy just by having a DAF — every dollar in their fund must go to charitable purposes. They've also already received their tax deduction when they made a contribution to their DAF. This means you can appeal to them whenever your organization's need is greatest. They're positioned to respond and often do so quickly.

DAFs are sometimes called the "rainy day funds" of philanthropy because DAF donors actively use their DAFs to support today's charitable priorities while saving for future needs. Dominated by a global pandemic, a renewed and intensified fight for social justice, and a deeply polarized political environment, 2020 was a year of great need. DAF donors, once again, stepped up to address those simultaneous challenges in creative, generous ways.

Headshot_eileen_heismanEileen Heisman is the CEO of National Philanthropic Trust, the largest national, independent donor-advised fund public charity. Heisman is one of the authors of the annual DAF Report. More at NPTrust.org.

Most popular PhilanTopic posts in 2020

December 31, 2020

DownloadMost of us are beyond relieved that the end of 2020 is in sight, but when historians, artists and writers, and grandparents sharing stories of the good old days look back on it, this longest of years is likely to be remembered as one of the more consequential in American history.

In that spirit, we present the ten most popular posts on the blog posted over the last twelve months. A global pandemic, racial injustice and systemic racism, deepening inequality, climate change, democratic decay, the often timid response of philanthropy and the social sector to urgent challenges — they were the proverbial canaries in the coalmine and will continue to demand our attention and best thinking in 2021.

Enjoy and stay safe.

  1. Funding in the time of COVID-19: questions to deepen racial equity (April 4, 2020) — Michele Kumi Baer
  2. Remote onboarding: set up new hires for success (September 11, 2020) — Molly Brennan
  3. Silence in the social sector (June 24, 2020) — Maria Vertkin
  4. Women and the changing face of philanthropy (July 29, 2020) — Shira Ruderman
  5. Dismantling systemic racism requires philanthropic investment in AAPI communities (October 27, 2020) — Eddy Zheng
  6. The solution for saving mon-and-pop businesses (May 18, 2020) — John Hamilton
  7. The reinvention of the nonprofit (May 14, 2020) – Derrick Feldmann
  8. Leading in solidarity to reshape the nonprofit ecosystem (July 1, 2020) — Allandra Bulger, Shamyle Dobbs, Yodit Mesfin Johnson, Donna Murray-Brown, and Madhavi Reddy
  9. Philanthropy's moment: advocating for and funding what's essential (April 14, 2020) — Andrew Wolk
  10. What we can learn from the Sierra Club's moment of self-reckoning (August 31, 2020) — Garrett Zink

Happy New Year from PND and the folks at Candid. See you in 2021!

Businesses must help nonprofits working to address COVID-related needs

December 07, 2020

Handshake_over_table_PhilanTopicjpgNonprofits are a key part of the U.S. economy — collectively, the third biggest employer by sector. And when the nonprofit sector is healthy and functioning, it benefits the for-profit sector as well. A recently published report found that nonprofits contribute more than $77 billion annually to the New York City economy — more than 9 percent of the city's total economic output.

But as we all know, the COVID-19 pandemic has dealt a devastating blow to the U.S. economy, and millions of Americans are suffering — especially Black and Latinx Americans. Despite the many challenges they face, nonprofits are stepping up to fill the gaps. Food banks are distributing 38 percent more food than they did in 2019. Charities are providing computers to students who need them. Unemployed Americans, many of them well aware of the kind of assistance ordinary Americans need and are not receiving, have founded nonprofits to bring volunteers together to meet those needs.

While there has been amazing progress on the vaccine development front, the crisis is likely to drag on for months and the outlook for additional federal assistance is uncertain. Complicating the situation, many of the newest nonprofits aren't eligible for support via the federal Paycheck Protection Program or other government programs. Business leaders can debate the extent of their ethical responsibilities, but in a crisis, putting aside any concerns they may have and doing the socially responsible thing almost always works to their advantage. All the more reason, then, for businesses and individuals to step up at this critical moment and support nonprofits that are being buffeted by the pandemic.

The situation is dire. Even as they scramble to ramp up their services to meet growing demand, many nonprofits are barely hanging on, and nearly a third are at risk of going under. A recent survey by BryteBridge found that among new nonprofits, 79 percent have experienced a drop in revenue, with 38 percent reporting revenue losses of 50 percent or more. Nonprofits established in the last five years are four times as likely to say they are close to not being able to cover their operating expenses than those in business for six or more years, while almost 60 percent of new nonprofits have had to furlough staff and more than 20 percent have had to implement layoffs.

As the president of BryteBridge, I've seen a dramatic increase in requests for support over the last ten months, whether it's help with fundraising, compliance issues, or newly formed organizations looking to apply for 501(c)(3) status.

If they aren't already doing so, businesses and individuals in a position to support nonprofits financially should look hard at where and how they can make the biggest impact with their donations. And they mustn't overlook grassroots and newly established nonprofits, which are less likely to have built up reserves for a rainy day. Supporting organizations that are struggling with capacity constraints — whether through employee volunteer programs or pro bono business support — also can make an enormous difference. By eliminating some of the burden of administrative and compliance requirements, we can ensure that nonprofits are better able to serve their constituents and focus on their mission.

The need for the services delivered by nonprofits right now is enormous, and many organizations are working creatively to rise to the challenge. Many more are running on fumes. It’s time for individuals, businesses, and the private sector to step up.

Brian_Davis_BryteBridge_philantopicBrian Davis is president of BryteBridge, a provider of nonprofit services.

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  • "[L]et me assert my firm belief that the only thing we have to fear is...fear itself — nameless, unreasoning, unjustified terror which paralyzes needed efforts to convert retreat into advance...."


    — Franklin D. Roosevelt, 32nd president of the United States

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