Summary of “Fund-Raising: Well-Paid Jobs That Sometimes Go Begging”
An article that appeared in the June 19, 2005 edition of The New York Times
A recent New York Times article reveals the difficulties employers are facing in retaining fundraising professionals. Reporter Ann Colin Herbst discloses that, according to the Association of Fundraising Professionals (AFP), the national turnover rate in 2003 for fundraisers was 25 percent in the U.S. and 34 percent in Canada . The demand for fundraisers (also known as development staff members) has outpaced supply, even when the market was flooded with prospective candidates in this field during the recession.
The article, entitled “Fund-Raising: Well-Paid Jobs That Sometimes Go Begging,” attributes the high turnover rate to the fact that when many popular bosses leave an organization, they are likely to take their development team players with them.
In reviewing The Chronicle of Philanthropy's online job postings, Ms. Herbst reports that nearly 100 groups in the New York region alone are seeking fundraisers, grand writers, special events coordinators and other development workers. The article goes on to mention that these are the only groups that have currently placed ads.
Statistics in the article show that the nonprofit sector is booming in the United States , with 1.4 – 1.8 million not for profit organizations collectively raising more than $240 billion annually. These organizations are increasingly large contributors to the local and national economy. The Bureau of Labor Statistics reports that employment in the nonprofit field grew 2.5 percent a year between 1997 and 2001, outpacing the growth rate for both business (1.8 percent) and government (1.6 percent).
Ms. Herbst states that the demand for good fundraisers is escalating salary levels and benefits, especially in the New York area. The AFP reports that the average salary of a fundraising professional in 2003 was $74,470, an increase of 9 percent from 2002. And charitable organizations typically offer their employees a more lucrative benefits package than those employed in government or the private sector.
The article points out that in high cost of living markets, such as New York , many smaller charitable organizations can't afford to hire a development staff, yet they must raise a certain amount of funds to retain their current operations level. Many organizations are turning to executive recruiters to search for their fundraisers. One of their biggest challenges is finding the right person for the job, which can be difficult when several groups are competing for the same person(s).
Ms. Herbst concludes that fundraising has become more difficult over the past decade, now that the government has cut back on large grants. This has forced more organizations to raise money on their own. But according to Paula Kerger, chief operating officer of WNET Channel 13 in New York , fundraising is still a great field to be employed in despite these challenges. She says it offers psychological rewards that the private sector can't. People who are drawn to nonprofits aren't in it for the money, Kerger says. At the end of the day, they feel that they are doing their part in helping to make the world a better place.
Back to Free Stuff
