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Executives at nonprofit organizations are making big bucks.
And I mean really big -- this according to a brand new survey out this morning -- share the results.
Is Chronicle of Philanthropy manager of special projects Noel -- -- well thanks so much for being here.
Well he's making what's happened with compensation for the leaders of these non profits.
Well they -- thanks for having -- on we've been tracking this data for charities that raise the most money from the American public for about seventeen years.
As well as the wealthiest foundations in the country.
And what we've seen over that time is that their pay increases the executives at these organizations from year to year have been outpacing the corporate growth.
And CEO -- in the corporate world.
And so we're just kind of seeing that the data from 2008 may -- the last year of that kind of higher increase his -- median increase since he'll pay this year 7%.
And we're just not expecting that to continue in the future that's still pretty shocking no -- well and overall the fact that the pay there has been outpacing private sector pay is is stunning nonetheless for the 7% median increase.
Given the -- back in giving too many.
Non profit organizations.
Is still pretty shocking but what about do I believe one in four have been cutting -- right.
That's very I'm glad you brought that up actually I didn't want to mention that the data is from 2008 so a lot of these increases.
And that median 7% actually work.
Approved back in 2007 well before the recession so that's just something that important to remember.
But with the pay cut I'm glad you brought that up we actually saw about a third of the CEOs and our study.
Take a pay cut or hold their pay a flat voluntarily.
Maybe -- bonus and that since the rest recession began.
That's kind of -- leading trend and there's some people in the country you are gonna say you know that's really not -- -- -- There's two thirds of them out there the brewers who have not done that yet so I think you know as they go to the American public this -- The charity season over the holidays coming up asking for donations.
This is something donors are going to be looking for.
You know as they decide.
Just very carefully worded it where they gonna give their gifts this year -- don't ought to look at some of the pay packages of some of these individuals who run the organizations because I know you looked at the top paid people.
In a whole variety of categories but the numbers are pretty breathtaking.
Yet the high end of our range again these are the charities that are raising the -- from the public and maybe charities out there who are more heavily supported by the government.
Who are paying their executive Smart but the high end of the -- -- -- up three and a half million dollar package.
And the median of that charity executive pay in our study was -- 360000.
So that's that is you know considerable -- we're talking -- entire compensation package of benefits and everything.
But you know I think one of the challenges for these organizations in a multimillion dollar sometimes multi billion dollar organizations that are not very complicated.
Missions they have offices around the world some of them.
And so they are there are you know attracting talent from the business world to come in and lead those organizations so.
There's a competition for people at the top of these charities and I think that's that's reflected in their pay packages.
The museum of modern art that -- that -- did that at moma.
The total two point seven million dollars what they here's what the people who give money to these organizations -- now.
How did they justify broadly speaking the pay increases and -- the donors do.
To ascertain whether organization deserving of their money here not whether it's being client wisely.
Thanks for that question vegan.
I think it's important the person you product that mama -- -- took a great example in our study he was the number two.
Person in our data set and what we silence him as a trend in bonuses that we're gonna see more and more we think in the charity world.
His bonuses were tied to real tangible goals and terms of fundraising and different campaigns that that organization had going on.
And when he when he met them -- over a -- a series of several years he was compensated so.
That's attractive to charities and -- boards and donors because they can really tie those bonus levels to real results.
You know I -- that's you know what went donors are looking for is is.
Something they can -- -- you know something that's this justifiable sound.
No oil thank you so much for that -- Barton Chronicle of Philanthropy miniature special projects that media -- -- haven't 7% last year.
And non profit thank you.
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