Dive Brief:
- C-suite employees of nonprofit organizations are pulling in hefty salaries, James Walsh reports for the Times Herald-Record. For example, the President of Scenic Hudson Inc., the NY-based environmental and land-preservation agency, earned $962,452 in 2014, according to IRS records.
- Just in the Hudson Valley region of NY alone, a Times Herald-Record investigation revealed a wide range of salaries being offered to executives at nonprofits. According to these agencies, large salary packages, many of which include bonuses, retirement savings, and other perks, come about thanks to the competition for top executives, particularly in the private sector.
- Traits that are in high demand are management ability, high success rates with fundraising, and strong community advocacy. Walsh says that the salaries and compensation decisions are largely made by board members who work with consultants who specialize in nonprofit salary ranges.
Dive Insight:
The nonprofit industry is a complex industry with many moving parts. While a great deal of good comes out of nonprofits, there is also a large share of donations going towards administrative and technical purposes. Seasoned executives are a precious commodity in the nonprofit world, because of their ability to raise huge sums of money and gather community support.
Competition for executives who can manage all of those goals and exhibit company values is high, especially since many go to the for-profit world for more security. Scarcity of executives who have a successful track record, particularly in certain niches of the nonprofit world makes the demand for them even more fierce. Clearly, money is still a deciding factor for those recruiting in that industry.
