Dear Nonprofit Leaders,
We are standing at a moment of deep uncertainty in our sector. If you’re feeling the weight of it all—the dwindling funding streams, the rising demands, the economic and political pressures—you are not alone. The looming vote on H.R. 9495 in the House of Representatives underscores the mounting challenges we face, threatening to add new risks and uncertainties for organizations already stretched to their limits. These challenges don’t just test our capacity as organizations but our endurance as people.
The realities are sobering: nonprofits are bracing for potential layoffs and restructures; staff are navigating burnout at alarming levels; and job seekers are finding fewer opportunities in an increasingly competitive market. The tension is palpable, and it’s hard not to wonder: how do we continue to serve our missions while taking care of our teams and ourselves?
The nonprofit sector has always been a haven of resilience, and we are called now, more than ever, to focus on what we can control: ensuring our workplaces are prepared to weather these storms, centered on the people who make our missions possible.
HR in the Eye of the Storm
Our sector is no stranger to adversity, but these challenges are colliding with an already fragile environment:
- Shrinking Funding Pools: Progressive organizations, in particular, are bracing for further funding declines following this election cycle. Layoffs and restructuring seem inevitable for many.
- Burnout at an All-Time High: Nonprofit leaders and staff are running on fumes, balancing the weight of systemic injustices with the day-to-day grind of their work. This relentless pressure has led to unprecedented levels of exhaustion and mental unhealth.
- A Turbulent Job Market: With Biden administration staff departing en masse, skilled professionals are entering a labor market that feels broken. Job seekers—many highly qualified—report employer ghosting, multi-round interviews with no outcome, and lowball offers. Even in a crowded market, organizations struggle to find the right talent while managing overwhelming application volumes.
Against this backdrop, HR’s role has shifted from operational to existential. It’s no longer just about hiring or onboarding; it’s about navigating existential questions of survival, ethics, and leadership.
What Does This Mean for You?
As leaders, you’re grappling with HR challenges that go far beyond policies and payroll. These issues strike at the heart of your mission and values:
- Protecting Staff Morale: How do you sustain your team’s energy and commitment when uncertainty looms?
- Fostering Inclusion: In a time of fear and division, your commitment to equity, inclusion and justice must remain steadfast. HR is a powerful tool for dismantling barriers and creating equitable workplaces, even in tough times.
- Managing Talent with Empathy: From onboarding to layoffs, every touchpoint with staff must reflect your values and humanity.
A Way Forward
Despite the challenges, our collective commitment to equity and justice can guide us through these storms. While there are no quick fixes, we can make intentional decisions to support our teams and missions:
- Name and Navigate the Challenges: Be transparent with your staff about the realities your organization is facing. This builds trust and strengthens your team’s ability to face the future together.
- Center Well-Being: Leaders who prioritize care—emotional, mental, and physical—set the tone for resilience. Small actions, like making space for staff to decompress or adapting workflows to reduce burnout, can make a significant difference.
- Lean Into Collaboration: The solutions to these challenges won’t come from one organization alone. Seek out partnerships, share resources, and build coalitions to tackle systemic issues collectively.
Looking Ahead
The nonprofit sector thrives because of its adaptability and community spirit. The road ahead won’t be easy, but it will be meaningful. Every challenge we face is an opportunity to reinforce our shared commitment to justice, equity, and impact.
Take heart, take care, and remember—you are not alone. The work you do matters deeply, and together, we can navigate the complexities of this moment with courage and compassion. If you want to talk, I’m here for you. Schedule a time to connect.
In solidarity,
Whitney Herrington
CEO & Founder
Ascend People
