REPORT: NONPROFITS CONTINUE TO BE A LARGE PART OF WORKFORCE

By May 16, 2018 Blog

The Johns Hopkins Center for Civil Society Studies has released their latest data mining to reinforce the fact that nonprofits make up the third largest workforce in the country.

The numbers continue to show the impact nonprofits have on American culture. Nearly 12 million people work for various nonprofits across the country. By comparison, just over 12 million work in manufacturing, and another 16 million work in retail. Among nonprofits, more than half of those jobs are in health care, with social services, education and accounting following behind in size.

“Employment is one of those really crucial things that is on the minds of everybody these days,” said report author Lester Salamon. “And people forget that this sector is a major employer.”

Based on projections from U.S. Bureau of Labor Statistics data, the new report, “Nonprofits: America’s Third Largest Workforce” reveals that as of 2015, America’s nonprofit sector:

  • Has the third largest workforce. The U.S. nonprofit workforce ranks third in size among the 18 major U.S. industries, behind only retail trade and manufacturing.
  • Outdistances manufacturing. In 24 states and DC, nonprofits actually employ more workers than all the branches of manufacturing combined.
  • Is a “major” industry in most states. Economists consider any industry that accounts for 5% of a country’s workforce to be a “major” industry. By this measure, the nonprofit sector is a major industry all but one of the nation’s states and District of Columbia. And in more than half of the states, the nonprofit sector accounts for more than 10% of private employment.
  • Is a major industry at the county level. Data available at the county level reveal that, by this same measure, nonprofits constitute a “major” industry in 1,459 (77%) out of the nearly 1,900 U.S. counties on which data are available. And in 856 (45%) of these counties, nonprofits account for 10% or more of the private workforce.
  • Is a diverse industry with a broad array of services. he health field—embracing hospitals, clinics, and home health services—accounts for 54% of all nonprofit employment, but nonprofits are active in a wide assortment of other fields as well, from education and social services to arts and culture.
  • Is a dynamic presence. Nonprofits continued to gain ground as employers between 2012 and 2015 on nine industries: manufacturing, wholesale trade, finance and insurance, and a collection of six smaller industries.

Access to this report and other nonprofit employment data nationally and by state and county is now available online through Nonprofit Works, an interactive data base created by the Johns Hopkins Center for Civil Society Studies.

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