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News Release

Office of News and Information
Johns Hopkins University
3003 N. Charles Street, Suite 100
Baltimore, Maryland 21218-3843
Phone: (410) 516-7160 | Fax (410) 516-5251

February 16, 2000
Glenn Small, (410) 516-6094
Peter Berns, (410)727-6367

Maryland Nonprofits Employ More People
Than Manufacturing

Nonprofit workers earn $6 billion annually,
nonprofit job growth leads other sectors

Maryland's nonprofit sector employs more people than all of the state's manufacturing industries and accounted for 25 percent of all job growth in the state over the past decade, leading all other sectors, according to a new study released today.

The study was conducted by Lester Salamon (pictured at right), a principal research scientist at the Johns Hopkins University Institute for Policy Studies and a leading expert on nonprofits, in conjunction with the Maryland Association of Nonprofit Organizations.

"The nonprofit sector in Maryland not only contributes to the quality of life through the health care, education, job training, day care, culture and advocacy it provides, but it's a major economic force as well," said Salamon, who authored a similar report three years ago. "This sector is massive, dynamic and growing at a faster pace than are for-profit businesses."

Entitled, "Maryland's Nonprofit Sector: A Major Economic Force," and co-authored by Salamon and Leslie C. Hems, the report is based on the latest data available from the State of Maryland and gives a detailed picture of nonprofit employment in Maryland and the trends in nonprofit employment and payroll over the past decade. The report is the first product of a new Nonprofit Employment Data Project at the Johns Hopkins Center for Civil Society Studies, which Salamon heads. It is available online at: http://www.mdnonprofit.org/MdReport.pdf.

Some key findings:

Baltimore leads the state in nonprofit employment with 71,000 employees, but two-thirds of nonprofit employment is spread across the rest of the state.

Nonprofit workers earn $6 billion annually, more than 7 percent of the state's total payroll.

Fifty-two percent of all nonprofit employees in Maryland work in the health field, with just over 100,000 employed.

Nonprofit employment in Maryland has grown 30 percent over the past decade, accounting for 25 percent of all net new jobs created in Maryland. Most of that growth has occurred outside Baltimore City in the Baltimore and Washington suburbs, the Eastern Shore and Western Maryland.

Maryland nonprofits have recently begun to encounter increased competition from for-profit firms, especially in the health, social service and education fields.

The average weekly wage for nonprofit employees is 24 percent lower than that for government workers in the state and 12 percent lower than that for workers in for-profit businesses. However, nonprofit wages are on a par with, or slightly ahead of, those of for-profits in industries where both are active (hospitals, home care, and education).

The private nonprofit sector is comprised of private universities, schools, hospitals, clinics, day care centers, social service providers, symphonies, museums, art galleries, theaters, environmental organizations and many others. The data in this report draw on reports filed by employers with the Maryland Department of Labor, Licensing and Regulation, and cover the period through the end of 1998.

The Maryland Association of Nonprofit Organizations, an association of more than 950 nonprofit organizations representing a wide array of nonprofit activity, published this report and organized its release in Annapolis. For more information about this organization, please contact Peter Berns or visit the group's web site at: www.mdnonprofit.org.

For a county by county breakdown of nonprofit employment, please see the following table.

  Nonprofits Manu-
Construction Total
County Number % of Total
Empl. in County
Number Number Number
Allegany 3,417 11.5% 4,534 1,182 29,820
Anne Arundel 9,955 5.5% 15,477 11,434 180,763
Baltimore City 71,267 18.7% 29,829 11,823 381,766
Baltimore County 28,535 8.1% 35,838 21,227 354,371
Calvert 1,331 8.4% 650 1,856 15,864
Caroline 850 9.6% 1,733 492 8,869
Carroll 3,546 8.1% 5,674 5,189 44,044
Cecil 1,170 5.3% 3,696 1,184 22,091
Charles 1,490 4.2% 1,200 3,538 35,324
Dorchester 653 5.8% 3,644 457 11,266
Frederick 4,622 6.4% 6,730 7,716 72,091
Garrett 854 8.7% 1,159 711 9,786
Harford 3,004 4.7% 4,686 4,665 63,985
Howard 6,712 5.7% 7,184 8,741 117,457
Kent 1,056 14.4% 927 425 7,312
Montgomery 31,653 7.5% 18,628 23,000 423,536
Prince George's 12,158 4.0% 12,298 25,946 301,765
Queen Anne's 231 2.3% 957 847 9,872
St. Mary's 1,264 4.0% 607 1,492 31,857
Somerset 439 6.8% 495 227 6,453
Talbot 1,786 10.2% 2,519 1,110 17,509
Washington 5,215 8.6% 9,686 3,438 60,643
Wicomico 3,492 8.5% 7,306 2,236 41,259
Worcester 714 3.7% 2,119 1,126 19,472
  0.0% 305 5,426 63,180
Total 195,414 8.6% 177,576 140,062 2,267,175

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