New research shows 17 per cent of charities in Australia could be at risk of closing their doors in the next six months due to a fall in revenue throughout the coronavirus pandemic.
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Social Ventures Australia and the Centre for Social Impact modelling shows this could impact more than 200,000 jobs.
Ballarat Foundation chief executive Andrew Eales said he hoped the government would support charities and not for profits in the next wave of stimulus.
"We hold concerns for charities and not for profit organisations," he said.
"Certainly in some of the conversations we have had with other organisations in Ballarat, we recognise the pandemic has impacted on them negatively, as it has in so many sectors," he said.
"I think the great thing about what we are seeing in Ballarat in recent weeks is people have really got behind their local charities and welfare organisations."
Mr Eales said charities and not for profit organisations had been providing a much needed service throughout the pandemic.
"Charities and welfare organisations are really the glue that keeps community together," he said.
"When the government is considering the next wave of stimulus or the industries that are going to require support beyond September 30, I think it is going to be crucial charities and not for profit organisations are prioritised in their thinking."
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Community Council for Australia chair Rev Tim Costello said Australia would need as many charities as possible to survive the crisis and help rebuild Australia into the future.
Social Ventures Australia and the Centre for Social Impact research found 88 per cent of charities would immediately be making an operating loss if their revenue had fallen by 20 per cent.
Community Council for Australia chief executive David Crosbie said charities had been affected by a downturn in fundraising, closure of events and meetings, closure of volunteer run shops and loss of volunteers, at a time when they were experiencing greater need.
The research report released this week calls for governments to establish a gradual transition off JobKeeper to create a 'ramp' not a 'cliff' in October and to make fundraising and philanthropy simpler by creating nationally consistent fundraising laws and offering incentives to encourage increased philanthropic giving.
It also calls for the creation of a Charities Transformation Fund to help organisations transition to the 'new normal' including operating online, restructuring their organisation and investing in the capability of staff and to retain JobSeeker at a higher level to reduce service demand on charities and stimulate the economy.
Australian charities employ 1.3 million people and rely on over 3.5 million volunteers.
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