With President Barack Obama set to address a joint session of Congress on Thursday about the state of nation’s economy and the dismal employment picture, new data released Friday show that nonprofit employers actually added jobs during the worst part of the recent recession.
Researchers at the Johns Hopkins University Center for Civil Society Studies published an initial analysis of data from 21 states and found that nonprofit employment grew by an average of 2.5% per year between the second quarter of 2007 and the second quarter of 2009. By contrast, for-profit employment in these states fell by an average of 3.3% per year during this same period.
What’s more, nonprofit job growth during the recession was actually stronger than it had been from 2001 to 2007, growing by 2.5% per year versus 2.3% a year. During the earlier period, nonprofit job growth exceeded for-profit job growth, which increased at an annual average of only 0.2%.
However, the analysis showed that nonprofits in some fields and some states did worse than others. Whereas the average growth rate during the recession was 2.5% per year, it was only 1.8% per year in the nursing home field and 1.4% per year in social assistance.
And viewed by state, nonprofit job growth during the recession was also a much lower 0.7% in New Jersey, 1.3% in Michigan and Indiana, 1.4% in Ohio and 1.5% in Illinois.