Ministry Today

Resilient. That's a fitting description of most churches these days amid tough economic times. It's also what is proven in a recent Christian Leadership Alliance study that shows just how the economy is impacting Christian nonprofits.

The "Economic Outlook Survey" of a wide range of churches and parachurch organizations found that 48 percent of those responding said donations had decreased, while approximately the same percentage indicated their reserves were down. Two out of five organizations had less cash on hand.

Despite those dreary numbers, churches are surviving—and some thriving—by doing some of the following to compensate:

• 52 percent reduced travel
• 44 percent froze raises
• 43 percent cut their overall 2009 budget
• 36 percent enacted a hiring freeze
• 28 percent reduced full-time staff
• 27 percent reduced, eliminated or delayed outside consulting

One positive indicator is that churches and ministries have been far less affected by the credit crunch than non-Christian entities. Only 17 percent of those responding to the survey said their organization had attempted to restructure a loan in the last six months, while a mere 10 percent had tapped into their line of credit beyond normal use.

Pastors and ministry leaders responding also seemed to have a positive outlook amid the tough times. Although approximately two-thirds believe this is an extended recession that will last at least a year before the country returns to a sense of economic "normalcy," 58 percent say their organization has learned tough stewardship lessons that will help them regardless of what the future holds.

“If there was one theme that kept coming through in respondent comments, it is that Christian charity and church leaders have a strong sense of a larger story," said consultant David Schmidt, whose agency conducted the research. "They seem less rattled and remain confident in God’s provision and care, despite being stress-tested by their circumstances.” [christianleadershipalliance.org, 7/13/09]

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