The Kentucky nonprofit sector has added more than 15,000 jobs over the last two years. This is to solidify its role as a major economic driver even as organisations grapple with surging demand and operational challenges.
Kentucky nonprofit employment surges to 179,000
The Kentucky Nonprofit Network (KNN) released its biennial “More Than Charity” report during a legislative breakfast and press conference at the Kentucky State Capitol Annex. The 2024 data shows nonprofit employment has jumped from approximately 163,000 jobs to nearly 179,000.
Lawmakers and nonprofit leaders joined KNN to announce the findings alongside a new interactive online data dashboard. This allows users to view summaries by county and local workforce area.
“Nonprofits are a major part of Kentucky’s economy. Charitable nonprofits are not just charities; they are a major employer and economic engine in Kentucky,” said Rep. Samara Heavrin (R-Leitchfield), co-chair of the legislature’s Nonprofit Caucus.
While the sector experiences numerical growth, nonprofit leaders report a parallel increase in community need. The report highlights that 77% of nonprofits anticipate demand for services will rise.
Similarly, 45% admit they currently cannot meet the full scope of needs in their communities.
Sen. Cassie Chambers Armstrong (D-Louisville), Democratic co-chair of the Nonprofit Caucus, noted that the sector is contending with workforce shortages. She added that despite these challenges, public confidence in nonprofits remains strong.
Armstrong pointed to data showing that over 80 percent of voters in the last election trust these organizations to address community needs.
Public trust remains high as organizations reinvest surplus
Speakers emphasised that the sector’s reach extends across every facet of community life. This is from healthcare and food assistance to housing, youth programmes, disaster relief, and the arts.
“Every Kentuckian, directly or indirectly, is receiving some kind of care through our nonprofits,” said LeAnn Magre of Aetna Better Health of Kentucky, a co-sponsor of the report.
Magre noted that their nonprofits also strengthen the communities through civic engagement. This is about bringing people together to solve problems and attracting employers and investments.
Erica Jackson of Dean Dorton, another report sponsor, highlighted the structural distinction of charitable organisations. Unlike for-profit entities, any surplus funds are legally required to be reinvested into mission-driven work rather than distributed to owners or shareholders.
The report also challenges the common perception that nonprofits rely solely on donations. It reveals that nearly 90% of nonprofit revenue stems from program service income and government partnerships.
In another development, Image and video platform Cloudinary launched a global network for developers to learn and build the future of visual experiences. To scale its reach, Cloudinary is leaning on partnerships with tech-focused non-profits across four continents.