The nonprofit sector is a vibrant and growing part of the economy that helps to advance social causes, provide essential services to populations in need and create meaningful change in communities. Nonprofits account for nearly 10% of private sector employment in the U.S., or about 12.8 million jobs, according to a recent economic report from the Bureau of Labor Statistics.The nonprofit industry’s many diverse subsectors include education; human services (e.g., shelters, food banks); arts, culture and humanities; advocacy and civil rights; and environmental conservation.
How is the nonprofit industry different from traditional industries?
Nonprofit organizations differ from traditional industries like manufacturing or retail trade in two primary ways: their purpose and how they are funded. Nonprofits are focused on advancing their mission or a cause versus prioritizing financial gains. And they rely on donations, grants and fundraising instead of revenue from selling goods and services to operate and achieve their stated objectives.What nonprofits have in common with traditional industries, though, is the need for skilled talent to help them manage budgets, increase efficiency, provide excellent service, and grow. Research for the Salary Guide From Robert Half found that the nonprofit sector is one of the hottest industries for professionals in finance and accounting, administrative and customer support, and human resources (HR) to find job opportunities in 2025.
Factors driving hiring and employment in the nonprofit industry
Over half (53%) of nonprofit employers are expanding their teams in 2025 and hiring for both new and open positions, according to workplace research from Robert Half.Our research also shows that for 51% of employers in the sector, growth is the top factor influencing their hiring decisions. The nonprofit sector is seeing growth for several reasons, including:Increased demand for servicesSocial challenges (e.g., aging populations, economic inequality)Heightened public interest in social responsibility, including corporate social responsibilityGovernment initiatives that are generating opportunities for public-private partnerships and new or expanded funding streamsOther factors driving hiring—and the need for skilled talent—in many nonprofit organizations are:Digital transformation and IT modernization projects: Just like many traditional businesses, nonprofits are investing in new technology and advanced tools like AI to improve how they operate and expand their impact. Through the adoption of generative AI solutions, data analytics platforms, customer relationship management (CRM) systems and digital marketing tools, nonprofits are streamlining work and enhancing how they deliver services, connect with donors, engage in advocacy and allocate resources. These efforts are requiring nonprofits to hire specialists such as business analysts, digital marketers and cybersecurity professionals.Heightened expectations for financial accountability and transparency: Many nonprofits are hiring finance and accounting professionals to help them meet relevant regulatory compliance requirements and accurately report on their financial health to donors and other stakeholders. Professionals with knowledge of nonprofit-specific accounting principles (e.g., fund accounting, donor restrictions) and grant management experience are in particular demand.The rise of social entrepreneurship: The practice of social entrepreneurship involves developing and implementing innovative solutions for social, environmental or cultural issues, with a focus on driving positive change for the long term in a sustainable way. As nonprofits widen their embrace of social entrepreneurship and other new funding models to help address social issues, their need for talent with skills in areas like project management, social enterprise development, business development, regulatory and tax compliance, and intellectual property law grows.Employee turnover is also creating hiring needs in the nonprofit sector. In a Robert Half survey, 43% of managers in the industry who also reported they are hiring candidates for both new and open positions cited turnover as a key factor influencing their hiring decisions.The turnover issue reflects the flip side of working in the nonprofit industry. While nonprofit careers can be very fulfilling, professionals may experience stress and burnout and emotional strain due to the nature of their work. Nonprofit employees can grapple with heavy workloads and limited resources, and often earn compensation lower than what they might potentially earn in other types of industries. All of the above can lead to lower job satisfaction—and higher turnover rates.
Go-to recruiting and retention strategies for nonprofit employers in 2025
Many nonprofit employers are reassessing their compensation structures, recognizing the need to step up their offerings to attract and retain in-demand talent and compete more effectively against companies with bigger budgets. In a Robert Half survey, 38% of managers in the industry said they would be increasing starting salaries as a strategy to attract and hire skilled candidates this year, while 40% said they’d be adding benefits and perks.Fifty three percent of nonprofit employers said enhancing professional development offerings would be a key strategy for retaining talent this year. An equal percentage of respondents said they would be increasing employee recognition efforts. Notably, that response was the highest across all industries in Robert Half’s survey, and it reflects how important it is for professionals in the nonprofit industry to engage in meaningful work and know their efforts are making an impact.Offering flexible working arrangements is another top tool nonprofit employers are using to recruit and hold on to valued talent. Our workplace research shows that 39% of nonprofit employers will offer hybrid jobs to attract and hire skilled candidates in 2025, while 36% said they will support flexible work schedules. Meanwhile 40% of managers in the industry said they will allow employees to work remotely some or all of the time as a way to bolster retention.
Talent needs for nonprofit industry employers: What job seekers need to know
Job seekers who are passionate about making a difference in their communities and want to use their skills to further a cause or drive social change can find enticing career opportunities in the nonprofit industry. The sector and its various subsectors—from education to human services to arts and culture—offer an array of avenues for professionals to find jobs that align with their values and interests.With increased need for specialized skills by organizations across the nonprofit industry, it is only becoming easier for workers from traditional industries and for-profit businesses to come into the nonprofit world and build a rewarding, purpose-driven career. The demand for skilled talent in the nonprofit sector is strong, and employers are looking to hire professionals to work in areas such as:Tech and IT: Many nonprofits are pursuing digital transformation, and adopting technologies like generative AI to streamline operations, reduce manual workloads, enhance data-driven decision-making, and enable secure remote work. These organizations need skilled tech and IT professionals to help them with various initiatives, including migrating to the cloud, enhancing cybersecurity and implementing data analytics platforms.Financial management and compliance: Nonprofits must navigate complex funding structures, including grants, donations and government contracts—as well as newer models like social entrepreneurship. As such, they require the skills of finance and accounting professionals who understand nonprofit accounting standards and compliance requirements and have experience with grant management.HR: Nonprofits need HR professionals to help them optimize recruiting and retention efforts, develop compensation structures, build a positive organizational culture, and create remote and hybrid work policies. Nonprofits also rely on HR staff to formulate effective strategies for succession planning and addressing employee stress and burnout.Administrative and customer support: Nonprofits rely on these professionals to help manage donor relations and support programs and provide excellent service to beneficiaries. Administrative and customer support staff are crucial for helping nonprofit organizations focus on their mission by handling day-to-day logistical tasks efficiently and effectively, including scheduling, responding to inquiries and maintaining donor databases.Marketing and communications: Nonprofits use compelling content and strategic campaigns to draw attention to their purpose or cause, build brand recognition and credibility, and connect with donors. They need content creators to help them craft narratives that align with their mission and engage audiences. Marketing experts are also needed to manage social media efforts, drive online engagement and use analytics to track campaign success.
Keep on top of trends that can impact hiring and employment in the nonprofit industry
Access the Salary GuideThe nonprofit sector is brimming with diverse work opportunities for professionals who want to find purpose-driven careers. Organizations across the industry are in need of skilled talent who can help them fulfill their mission and make a positive impact in local communities or even globally.To compete for top talent effectively, nonprofit employers can turn to Robert Half’s Salary Guide for valuable data and insights. The guide is also a useful resource for candidates who want to understand what roles are in high demand in their profession, and what type of starting salary they could potentially earn based on their skills and experience.
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