BLOOMINGTON, Ind. – Nonprofits in the eight-county Bloomington Economic Growth Region (EGR 8) gained jobs overall (up 3 percent) during the COVID-19 pandemic in 2020, according to a new report from the Indiana Nonprofits Project.
The report examines how COVID-19 impacted nonprofit, for-profit, and government paid employment and payroll in the Bloomington region over the 2018-23 period and includes preliminary findings for 2024.
The region’s overall gain of nonprofit jobs in 2020 is in notable contrast to a 5 percent loss of nonprofit jobs at the Indiana statewide level during that same time period. In fact, total nonprofit employment in the Bloomington region remained above the 2019 level throughout the period.
The report highlights how total nonprofit paid employment in the region remained much more resilient over the period than for-profit or government sector employment. Employment in the for-profit sector declined by 3 percent in 2020 while government employment dropped by 2 percent. By 2023, the for-profit sector recovered pre-pandemic employment levels, while the government sector remained below its 2019 employment figure at that time.
“The apparent resiliency in overall nonprofit paid employment, however, hides very different patterns across five major industries within the nonprofit sector that the region’s residents depended on to meet important safety net and quality of life needs during the pandemic,” said Dr. Kirsten Grønbjerg, Director of the Indiana Nonprofits Project.
Of the five industries – health care, social assistance, arts, entertainment, and recreation (AER), education, and membership associations – nonprofit health care was the only one to gain jobs from 2019 to 2020, up 20 percent. In contrast, nonprofits lost jobs in the remaining four industries, down about 10 percent in social assistance, AER, and education, and down almost 20 percent in membership associations in 2020. By 2024, membership associations had recovered to 2019 levels, but nonprofit employment in social assistance had still not recovered to 2019 levels. AER returned to 2019 levels in 2022 and education in 2021. Generally, nonprofits recovered faster than for-profit employers in the same industries.
The report also documents that nonprofits appear to be losing ground to their for-profit competitors in several of the key nonprofit industries examined – particularly social assistance.
“As a result,” Grønbjerg added, “nonprofits will likely be less able to meet the needs of vulnerable communities in the future, especially given recent efforts to cut federal spending and shift federal priorities away from social support and low-income communities.”
The report is a joint effort of the Indiana Nonprofits Project, the Indiana Business Research Center, the Paul H. O’Neill School of Public and Environmental Affairs, and the Lilly Family School of Philanthropy all at Indiana University.
About the Indiana Nonprofits Project
The Indiana Nonprofits Project is collaborative project designed to provide solid, baseline information about the Indiana nonprofit sector in order to help community leaders develop effective and collaborative solutions to community needs and to inform public policy decisions. The full report is available at https://nonprofit.indiana.edu/. It is co-authored by the director of the project, Kirsten Grønbjerg, and research assistant Lalita Durbha.
About the Indiana Business Research Center
Established in 1925, the Indiana Business Research Center is an integral unit in the Kelley School of Business at Indiana University. The IBRC’s mission is to empower communities and their leadership to build equitable and thriving regions through strategic insights, data and practical research. Our goal is to be a leading resource for user-friendly, practical applications of data, research and policy insights and to be recognized across the state, the nation and the globe for excellence in research and practice by regional science and economic development faculties and institutions.
About the O’Neill School of Public & Environmental Affairs
The O’Neill School is a world leader in public and environmental affairs and is the largest school of public administration and public policy in the United States. In the 2026-27 "Best Graduate Public Affairs Programs" by U.S. News & World Report, the O'Neill School ranks first in the country. Four of its specialty programs are ranked first, including nonprofit management, while the other five are in the top ten.
About the Lilly Family School of Philanthropy
The Indiana University Lilly Family School of Philanthropy at IU Indianapolis is the world's first and only school dedicated solely to the study and teaching of philanthropy. The school offers a comprehensive approach to philanthropy through its undergraduate, graduate, certificate and professional development programs, its research and international programs and through The Fund Raising School, Lake Institute on Faith & Giving, the Mays Family Institute on Diverse Philanthropy and the Women’s Philanthropy Institute. For more information, visit philanthropy.indianapolis.iu.edu.