4 actions human service nonprofits can take to create change:  

• Commit to providing and advocating for decent work and high-quality care: Our sector should not accept complacency and inadequate care models. Bold leadership is required in service delivery and in advocacy for high-quality, “decent work” care service models that both raise the floor for the workforce and expand it.

• Center people and families: Insist on person-centered care service design in local communities – a spectrum of responsive options that involve individual and family preferences, rather than an institutional one-size-fits-all. In all sectors, we see a growing demand for culturally appropriate care and specialized homes for people with different cultural traditions, diets, and languages spoken. Don’t we all want to with the people and things that we love, in communities where we look out for one another, doing the things that matter to us?

• Insist that profit be taken out of care. Care should not be subjected to profit-taking, and care homes must not be sold to the highest bidder. The nonprofit (including nonprofit co-operatives) and municipal service providers can deliver value for money with a focus on quality services, not dividends.

• Help end the . Big investment companies should not own community assets and be allowed to extract profitable returns for shareholders or pensioners at the expense of individuals needing care.

ONN is focused on promoting a “Decent work movement” in the nonprofit sector, with a new emphasis on racial justice and learning from Indigenous approaches to decent work. 

Time to reform seniors’ care

After the virus roared through LTC facilities in both the first and second waves with devastating consequences, the 91ĘÓƵ government struck a commission to examine what went wrong and make recommendations for reform. The ’s mandate was narrowly designed to focus on the response to this pandemic rather than address the longstanding structural issues in the LTC sector. 

The Commission heard from those directly involved in long-term care, as well as government officials and independent experts. Working in the spotlight of intense media and public interest, the Commission produced its on April 30, 2021. 

Many of the Commission’s recommendations have relevance for the nonprofit sector and the opportunity that awaits us to participate in reforming seniors’ care and other parts of the care economy that have suffered from neglect. Especially since, seniors’ care and more broadly the care economy is poised to grow exponentially, as Ontarians’ need for care increases and because it is least likely to get disrupted by technology in the future of work. Technology will not take over care jobs, but rather assist in doing the work.

As governments and other key stakeholders grapple with “building back better” plans and mitigating the impact of technological disruption in the future of work with labour force and skills development strategies, there is an opportunity for nonprofits not only to capture that growth in our sector, but also demand that growth consists of decent work jobs and a service design that is people and community centered. 

The Commission found themselves agnostic about the corporate type of care (nonprofit vs. for-profit) noting the important attribute was commitment to “mission” (p. 13). Our sector is focused exclusively on ”mission” but over the years the sector has worked alongside the for-profit sector and adopted many of their practices such as part-time staffing and inadequate wages (albeit slightly better than the for-profit). 

When COVID-19 hit, nonprofit homes in the sector fared better than the for-profit homes as the former had better wages and staffing levels, more supplies for residents and upgraded older homes. Instead of just doing “better” than the for-profits, with more leadership and advocacy could the nonprofit sector have had greater impact on service design and quality? 

The Commission concluded that 91ĘÓƵ’s LTC model required a system change. “This will require a philosophy of care that is anchored in respect, compassion and kindness for the people who live and work in long-term care. It is not just about building more homes. There needs to be a transformation to a person-centered care model, which motivates different behaviours and rewards innovation that leads to better outcomes for residents and staff,” (p. 24). 

“Not one of these long-standing issues was a surprise to the government or to those who have worked, lived or advocated in the long-term care sector,” (Final Report, p. 14). Because of leadership failures from the 91ĘÓƵ government and beyond, many seniors lost their lives during the pandemic and even more continue to suffer. There is an opportunity for nonprofits serving seniors to show the impact of leaders who put people before profit. 

With all eyes on the care economy, now is the time for nonprofits to insist that high-quality care and decent work are at the heart of person and family centered services. 

• The government has not committed to implement significant new initiatives within a firm timeframe, whether a home in government for the sector, changes in direction and control that make shared platforms easier, equal access to business development supports provided to for-profit companies, or a human resources strategy for the sector.
• In policy areas where government has agreed to review an issue, there is no sense of urgency, nor is there a commitment to find sector-government solutions. For instance, the Canada Revenue Agency (CRA) was asked to revise its interpretation of the “not-for-profit purpose rule” so there is clarity about nonprofits’ ability to generate and reinvest surplus funds. This is not a new problem. CRA undertook a three-year research project in 2010- 2013 and unearthed the issue. This pace of response to legitimate sector concerns would not be tolerated in any other sector.
• The government has referred many significant and substantial issues to the which has already begun to release reports that substantiate the Senate committee recommendations. Let’s hope the response to these reports is more prompt and action-filled than the federal government’s response to Catalyst for Change
  As Canada emerges from the pandemic, the essential supports in our communities provided by the nonprofit sector will be critical. Government must re-commit to partnering with the nonprofit sector to rebuild communities and people’s lives, and create systems change by tackling economic inequity and empowering Black and Indigenous communities, and addressing the climate crisis. We urge the federal government to take the nonprofit sector’s issues seriously and to accelerate the changes we need. Let’s hope the more encouraging federal budget, rather than the tepid response to the Senate report, sets the tone for a reset for the relationship.

These are some of the terms used to describe nonprofit organizations collectively, yet these names don’t fully capture all that the sector is and does in serving communities.

The nonprofit sector in Canada is one of the fastest growing sectors in the Canadian economy. Virtually every Canadian is connected to a nonprofit, yet our legislative and collective understanding of the sector has remained frozen in time because we lack the language to describe it. Without this clear identity, Canada’s legislative, regulatory and policy frameworks fall short of enabling and supporting the sector to undertake its important work.

We know, we know- this is an age-old debate. So, why bring it up now?  Because addressing this issue is key to an enabling public policy environment for the sector.

While many people may think they know what a charity is, few people are aware there are other groups of organizations that also work for the public good. Yet, as corporate entities, they are mixed together with other organizations serving much narrower scopes and their exemption under income tax status remains uncertain.

With the Canada Revenue Agency (CRA) review of charitable activities, a review of anti-spam federal legislation, an election year coming up for 91ĘÓƵ, and more, this is a prime opportunity to differentiate organizations focused on public benefit so they can receive investment, develop their social enterprises and be part of social and economic decision-making for a thriving country.

ONN is proposing a new framework to identify these organizations: the public benefit nonprofit sector.

What do we mean by “public benefit”?

The term “public benefit” is a way to differentiate from “mutual benefit nonprofits”, which focus solely on serving their members, and can distribute assets to members when their group/organization winds up. Examples of mutual benefit nonprofits include condo boards/associations, trade associations, and private clubs.

Public benefit organizations, on the other hand, have open, inclusive mandates, providing a public good in the broader community, such as running a soccer club or theatre group, supporting people with disabilities or providing housing for vulnerable people.

Under the public benefit designation, we would be able to clearly identify organizations based on four fundamental common characteristics:

While charities and nonprofit co-ops get their own corporate designations in the eyes of government and as corporate entities, all nonprofits are lumped together under the generic term of “nonprofit organizations”, whether they serve communities or their members.

Here are four reasons why the nonprofit sector needs a new name

1. Canadians need to be able to make public policy to support public benefit organizations and help them thrive.

In the policymaking process, while Canada’s 85,000 charities are sometimes considered, the other half of the sector – nonprofits and cooperatives – are too often excluded or forgotten about entirely. We are talking about an additional 95,000 organizations located in almost every community in Canada that are not even on the political and policy radar. It is impossible to make policy targeted at public benefit organizations because they cannot be easily identified.

Public benefit organizations are a critical partner with government and business as they plan for the future and need to be at the policy planning tables.  

2. Public benefit organizations have a profound impact on our communities, yet go largely unrecognized in society.

What makes the public benefit sector unique? This is a sector that has organizational structures that invest and reinvest in communities, as opposed to building private wealth. It is the sector that does not get bought out or outsourced to other countries and provides the platform for 12.7 million Canadians to volunteer in their cities and towns.

People often turn to public benefit organizations when times are tough, or to give their lives meaning, for find support for overcoming challenges. What other sector is as well positioned to assist our communities and their residents with the impacts of precarious work, mass migrations, climate changes, and wealth inequality? This is a sector that supports the creation and enforcement of environmental protections, helps people find meaning in their lives and showcases cultural expression and creativity.

These public benefit organizations are advocates, and speak up for communities and the people they serve.

3. The sector needs to be recognized for its significant contribution to local economies and Canada’s economy in general.

Charities and nonprofits are a significant contributor to jobs and economic activity. The sector contributes 8.1% to the country’s GDP and employs over 2 million Canadians. This is more economic impact as a sector than oil and gas, automobile manufacturing, or mining.

Charities, public benefit organizations, and nonprofit co-operatives are governed by volunteers in their communities, and are therefore rooted locally. Because they are not for sale and aren’t focused on maximizing profits for shareholders, these organizations invest in and enrich local economies for the long term.

4. Where’s the data? Communities and the nonprofits within them need data on the sector to make effective public policy.

The quality and effectiveness of public policy is dependent on being able to tailor it to the needs of the groups involved. Yet, there is a severe lack of data about the sector and what we do have is 13 years old! We need regular data collection on the size, scope and activities of public benefit organizations (Side note: that’s why we’re actively involved in and support ).

We can’t continue to make do with antiquated, disabling legislation and regulation that makes our work that much harder and unnecessarily limits our sector’s potential.

The sector and the critically important work we do have been severely hindered by a lack of a clear identity, by lack of a name that identifies the scope of what we do.

There is enormous unrealized potential for the sector. With a clear identity, we can push government to provide the legislative and financial policies the sector urgently needs to help drive the economic and social strength and stability of our communities.

Read more in our paper, Introducing the Public Benefit Nonprofit Sector.

The world now has the capacity to use big data for a range of applications.

In the nonprofit sector, as well as within government, we are in the early stages of exploring the uses of big data for our work in communities. Both government and the nonprofit sector have data — lots of data — but we are just at the start of being able to harness this data and use it to improve our work. This is why the open data movement is so important.

How can we use government and sector data, along with other data, to do our work better? How can big data assist us to tackle the challenges we face — poverty, growing inequality, climate change, physical and mental health, unemployment and underemployment, homelessness, and food security?

In businesses, big data has been used with success in commerce, for example: in helping to identify and match products with customers by aggregating information on consumers to better understand their purchasing patterns, lifestyles, etc. Big data is also used in other areas such as in the investment field and to curate music and films.

Big data has the potential to inform the nonprofit and government sectors. It is already being used in the health care system to inform best practices, funding decisions and treatment availability. However, the community-based nonprofit sector and much of government is lagging in its ability to open its data and to analyze that data for public benefit. We recognize that the nonprofit sector, government and private sector need to partner together to develop our collective capacity for big data use and analysis. We need to identify what data is useful for our work and explore together the possibilities of big data to inform, streamline and potentially transform how we do our work together.

While everyone agrees that ensuring the well being of our citizens and building strong resilient communities is the shared goal, the use of big data is not bias free. It is not merely a question of the aggregation and open publication of data. The initial collection and analysis of this data requires decisions based on the curated knowledge of experts, community values and priorities. These factors are critical as big data is only one piece of the puzzle. For discussion of the challenges of using big data to address social problems the big data for good discussion blog is a good place to start. [2]

Decisions regarding the use of data sets, the emphasis and value placed on different criteria and the accuracy of the findings cannot simply be left to proprietary interests with private financial not pubic benefit objectives. It is essential, therefore, that public sector big data (sector and government data) not only be published in the public domain, but that the data analysis and methodology must be open and include key stakeholders in its development.

The following principles can guide big data development for the public domain:

The default position on data in the nonprofit and government sectors should be open. Work needs to be undertaken to develop standards to make this data readable and accessible for use and to assist nonprofit and government data holders open up their data.
Big data use and analysis for public good purposes needs to be publicly owned and open. A nonprofit consortium of government, nonprofit sector, funders, academics/universities, private sector and data managers should develop big data mechanisms for the public domain.
The intellectual property generated from big data in the public domain must be held for the public good. Intellectual property generated in the development of big data for public purposes and public benefit cannot be held in proprietary ownership.
Social innovation is complex and big data will be only one of many important contributors to finding new ways forward. Values, priorities, and local and individual circumstances will continue to pay a significant role.

[1] http://www.mckinsey.com/business-functions/business-technology/our-insights/big-data-the-next-frontier-for-innovation

[2] http://www.odbms.org/blog/2012/06/big-data-for-good/

The vast majority of charities and nonprofit organizations operate locally and are rooted in their communities. Each plays a small part, but together they make Canada a vibrant place to live, work and play.

We take it for granted that local citizens, on seeing a need—whether for a local swim club, a new business venture for people with disabilities, or to monitor lake water quality—will figure out a way to get it done. It is just how we are. What we fail to appreciate is how very rare and precious this approach to building resilient and vibrant communities is.

Canada’s nonprofit sector is the second largest in the world. We have one of the most vibrant and dynamic civil societies. It is vitally important that our sector’s contributions are recognized and supported across the country. Our nonprofit sector ’s staff and volunteer leadership play a critical role in Canadian communities.

However, these are times of change. The context and circumstances within which the sector does its work are changing: growing income inequality; pressures to silence civil society voices; changes to traditional funding and revenue sources; the changing and increasingly precarious nature of employment; changes (or lack thereof) in sector legislation and regulation; the rapid pace of technology development and new ways of working. Is there a nonprofit that has not been affected? How can local organizations keep up? How do volunteer board members know where to start?

Leadership In Changing Times is a report created to bring attention the wider forces, issues and opportunities that may already be impacting your organization—or are soon to. These trends and developments swirling around our organizations challenge traditional ways of operating. Knowledge of these trends will inform conversations locally and ensure you can take advantage of, and contribute to, the collective wisdom we have as a sector to find new ways forward. There is no better strategy than to pool our sector’s experiences and our knowledge, to learn from colleagues in other organizations who have tried new ways of working. Networking and sharing are vital to the prosperity of our sector—and, fortunately, what we do well.

These are challenging times for organizations doing good and needed work in our communities. Many join Boards of Directors hoping to make a difference in their community – to give back. However, the task of providing leadership and governance can be overwhelming, particularly when the going gets tough. Acquiring the resources to do our work seems to get harder and harder, as the challenges our communities face grow more complex. Operating a nonprofit organization, never simple, is ever more challenging in today’s rapidly changing environment.

Nonprofit leadership and board members are typically fully engaged in keeping their organizations and programs running, leaving them little to no time to think about the big picture or how larger trends and forces are changing the way we work. This resource is written to address this gap. It has been prepared to provide every nonprofit- the community soccer program, dance theatre, disability support organization – all of us – with background on key trends and the implications for our work.
Our work is made easier if we come to understand that our organization’s problems are not unique, nor are they necessarily a failure of our own lack of effort, and that the problems we are confronting are happening elsewhere. These problems require new solutions that we need to discover together.