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From Martin J: Surviving the economic crisis
Not only is it possible for not-for-profit organisations to weather the economic storms now gathering and bursting around us, it is essential. The sector provides necessary services for those most severely affected by the global crisis; the newly unemployed, for example, as well as those battling debt and poverty, third-world communities threatened by cuts in funding for essential services and programs, and many others. Those who rely on volunteers and charities for their wellbeing and survival will rely even more heavily on the sector under the burden of economic downturn.
Building human capital
It is also essential for the not-for-profit sector to survive, as it is, in many ways, the wellspring of hope and economic recovery. Organisations have much to offer the economy in direct and indirect ways:
· Volunteering can help people develop new skills and maintain old ones in periods of high unemployment, and can sometimes lead directly to employment opportunities. This should be seen and promoted as a valuable resource for job seekers and the agencies that help them and administer unemployment benefits. · Employers will benefit from giving their employees time to volunteer, when those employees bring new skills and confidence back to their jobs. They should, however, be careful not to abuse the system by replacing necessary, paid staff with volunteer labour, as this will have a negative effect in the long term: volunteers are more likely to take their knowledge and skills with them when a paid job becomes available, thus costing the business in additional training and down-time; in addition, fair pay for work keeps money moving around the economy generally, adding stimulus in the depressed market and aiding general recovery. Volunteer managers have an important role in developing and maintaining this delicate balance of human capital, and now is not the time to cut spending on volunteer management. In fact, volunteer managers are more important than ever.
Call to arms
Businesses should be encouraged to give time and money to the not-for-profit sector, in order to reap the economic benefits in the long term. Government must recognise the importance of the not-for-profit sector and continue to support it at this time. Investment in volunteering projects now will pay off in the short term with care for those affected by the economic crisis and in the long term by giving a boost to the flagging economy.
Let us know how you're being affected by the recession by completing our short survey.
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Welcome Martin!
In a troubled economy, People First -Total Solutions continues to offer advice and information to not-for-profits: in this edition we consider ways to survive the recession.
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Effective people: Victorian bushfire tragedy
 Recent bushfires in the state of Victoria, Australia (where People First -Total Solutions has its home base) sent ripples of shock around the world. Our support for the affected people and communities goes without saying, and this support takes many forms from financial donations to gifts of time and sympathy.
One bright spot in the gloom has been the unprecedented response to the bushfire appeal being coordinated by the Red Cross. Australians have donated a total that is climbing towards the AU$100 million mark ($US65m/)-almost $5.00 for every Australian. What makes this more remarkable is that this has occurred in a time when the recession is biting. "Makes you proud to be an Aussie," one donor said.
Another bright spot has been the willingness of Australians to volunteer their time, both in the immediate crisis and in the long haul of rebuilding the towns, homes and lives of those affected. Feeding, clothing and sheltering thousands of displaced residents during the first few days was a huge task undertaken by charities and volunteers. As temporary homes are found and life begins to return to normal, other services will take over for the longer term.
Perhaps the brightest spot of all is, of course, the volunteer firefighters who bravely battled the blazes, some of whom lost their own houses as they fought to save lives elsewhere. With effective training and management, and despite the terrible loss of life, no firefighters have lost their lives this time. This shows a hard lesson learnt since the last big fires in Victoria, when 14 firefighters died.
To donate to or find out more about the Victorian Bushfires Relief effort, visit www.redcross.org.au. People First -Total Solutions would like to thank all of our supporters who have sent thoughts and good wishes at this time. We have also been pleased to offer our assistance with volunteer management advice to councils, government and charities at this time.
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Better organisations: Tighten your belt
Keep your organisation focussed and alive during the recession with the following strategies:
1. Lobby government and business for continued support. A strong voluntary sector will aid economic recovery.
2. Keep volunteers happy and active. Good volunteer management is the key: don't let the recession affect your training and recruitment programs.
3. Offer opportunities for new volunteers. Volunteering can be a great way for people to gain and maintain skills in a shifting job market.
4. Focus on building social capital. At a time when many social values appear to be crumbling, not-for-profits are more important than ever.
5. Change the world by starting small. Keep your eyes on your organisation's goals, both long and short term.
Contact People First -Total Solutions for assistance with strategic planning, and program reviews
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Stronger society: Not-for-profit snapshot
Australia: Facing a "rising tide of unemployment", to use the words of Prime Minister Kevin Rudd, Australian charities need a $300million boost to continue to provide emergency relief. Community sector leaders met with Deputy Prime Minister Julia Gillard last month to discuss the economic crisis and begin to develop strategies for the future.
Canada: At the opening of Parliament for the year, the governor-general said that the government is committed to spending what is necessary to stimulate the economy, with details to be included in a six-point plan as part of the federal budget.
New Zealand: Signals are mixed: not-for-profits are not yet reporting a downturn in funding, but confidence that cashflow will continue at its current level is not high. Sector leaders predict that communities will pull together in hard times, creating a boom in social capital that may ameliorate the economic crisis.
United Kingdom: The government has been in consultation with the NFP sector to identify what is needed in this economic slump. The NCVO has called on the government for a £100million support package
to help the voluntary sector through the economic
downturn. This package would include:
- £47m in grants and short-term loans to charities in financial difficulty
- £12m for charity mergers and
collaborations
- £20m to support
innovative ideas to help communities through the downturn
The government, through the Office of the Third Sector, will publish its action plan very soon.
United States: At least 40 states are reducing services to their residents, including some of their most
vulnerable families and individuals. The programs cut include public health, services to the elderly and disabled, and K-12 education. Concurrently, charities are being squeezed by falling donations, lower investment returns and greater demands on them. Many charities, however, note that donations have not dropped significantly and some have reported increases in giving. Leading philanthropists are calling for the new President to facilitate a nonprofit-led recovery in his economic stimulus package. Having shown his support for the sector by volunteering on Martin Luther King day, Obama is being asked to follow the symbolic act with financial support for the sector.
How is the recession impacting on you? We want to find out!
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Company news
Volunteer Program Assessment People First -Total Solutions CEO Martin J Cowling hands over the Volunteer Program Assessment (VPA) for Lyell McEwin Regional Volunteers. This tool provided the association with a snapshot of their program, its demographic patterns, strengths and key recommendations for the future. LMRV Board Chair wrote: "the Board are very grateful for this tool, which will help position our organisation". The People First -Total Solutions VPA is the leading, comprehensive, program-assessment tool globally, incorporating three international standards for a volunteer program. Martin says: "this tool (created with our experience) is making a very real difference". Clients comment: "it has been an affirming process"; "this is a real wake-up call for us"; "some surprises for us to act upon". To create the best volunteer program possible, one which will attract and keep volunteers and maintain your services, consider a VPA, an investment which will pay off for years.
Free Resources Check out our website for free resources to help you manage your organisation and its volunteer program.
Attention US Volunteer Centers & DOVIAS We have a Recession Busting offer for you! If you are in the USA, click here to see how we want to help you right now.
Advanced Volunteer Management Retreat, March 11-13, 2009 Now 80 per cent full! "COMMON
GOALS, DIFFERENT ROLES: Finding our place in Volunteer Management" is the theme of this year's VPM retreat on the Gold Coast of Queensland. Places are filling fast, so visit the website for more information or download an application form.
Facebook Become a fan of People First -Total Solutions or a friend of Martin J Cowling on our Facebook page.
Dancing with the stars! Last week in Christchurch at the Arthritis NZ Conference, Martin met professional dancer Stefano Olivieri and stage actress Geraldine Brophy, who are competing in NZ Dancing with the Stars 2009. Stefano has won the comp twice already (2007 and 2008). Their charity of choice is Arthritis NZ. Stefano had every woman at the conference swooning over him. Martin preferred talking to Geraldine! |
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Your say
Thanks for sharing your inspiration with me. Katherine Wolfframm Peterman
Loved your comment about the not-for-profit sector. Wouldn't it be great for A Current Affair or The 7.30 Report to do a piece on the value of the not-for-profit sector! Trevor Barker, Rural Community Support Coordinator, Vic Relief Foodbank
Hi Martin, I always enjoy reading your newsletter. Thank you. Lyndall Jackson, RPAH.
Thank you for your newsletters and inspirations... the latter are always most timely! I am leaving my position here and am hopeful that the person appointed will continue to subscribe to your website. Kerin Cuttriss, Manager of Volunteer Services, The Good Shepherd Home
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