Spring 1999 Newsletter

Table of Contents

1. Making the Most of Career Motivated Volunteering by Wendy MacDonald

2. New Fundraising Standards of Practice to Become Law in Alberta by Guy Mallabone

3. Donations of Inventory and Charitable Receipting by Betty Thompson

1. Making the Most of Career Motivated Volunteering by Wendy MacDonald

Volunteering is being recognized increasingly as a valuable career building tool to explore career options, to use or enhance job skills, to provide diverse workplace experience, and to encourage networking. From high school students to corporate executives, prospective volunteers value the unique learning and opportunities which volunteering offers. At the same time they contribute skills, time, energy, and commitment to individuals and the community. Career builders represent all ages and abilities. Some are involved in career change through choice. Others have been forced to adapt to a changing workplace.

Career motivated volunteers are a growing segment of our society, but voluntary sector organizations have not been quick to recognize the value of this largely undeveloped resource and take the necessary action to develop the potential of this group.

Volunteering has changed significantly in the last two decades as community need and individual lifestyles have changed. The diversity of volunteer opportunities has increased with varied skill levels, interests, and values represented. The involvement of volunteers in both nonprofit and public sector activities has also grown more complex.

Volunteers today understand the value of their time, energy, skills and connections. They are making difficult and deliberate choices about how they use their time. They frequently have many responsibilities, both personal and career related. Volunteering is a choice they make among many options.

Most volunteers want to help others or support issues and activities they believe in. At the same time they are more likely to volunteer when the situation is mutually beneficial. Benefits may not be tangible, but must meet the needs of the volunteer as well as the organization or person they support. Issues like convenience, the worthiness of the cause, the opportunity to meet new people, the possibility of career development, and the challenge of the role all impact a volunteer’s decision to volunteer. The desire to serve and the desire for mutually beneficial volunteer roles are both seen as important motivators of today’s volunteers. Volunteering can provide many career related benefits to individuals. Volunteers help themselves while they help others. Volunteering can be:

● a means of exploring career options

● a place to use, maintain, or enhance skills

● an opportunity to try innovative approaches to problem solving

● a way to develop diverse workplace experience

● a means of meeting new people and expanding personal networks

● an opportunity to learn and practice or develop new expertise

● an activity that supports varied learning styles

● a place to expand leadership and interpersonal skills

● a way to connect theory and practice

● an opportunity to experience diverse people, places and perspectives

● a chance to find fulfillment and affirm capabilities

● a way to overcome isolation

● an activity that increases self esteem

Youth

Young people bring energy, time, and fresh perspective to their volunteer roles. Their curiosity, creativity and innovation can be an asset in problem solving. Their ideals and spirit can lift other people and enhance organizational morale. They are searching for acceptance, a safe place to learn and practice skills, meaningful roles, and a chance to make a difference in the world.

Entry level workers

Individuals entering the paid workforce often bring willingness to learn, newly developed skills, training in specialized areas like technology, new approaches, and a desire to succeed. In return they want to use and practice skills, gain workplace experience, obtain feedback and references, find opportunities to network and participate in additional training.

Career Developers

Employers encourage employees to develop additional experience in areas such as leadership and organizing. They recognize the potential of volunteer roles in gaining these skills. They also acknowledge the value of volunteering in networking and business development. Workers who can manage stress and balance their lifestyles through voluntary activity are also an asset. Changing organizational structures mean fewer opportunities for upward mobility in many workplaces. Lateral moves are more common and many workers are looking for new challenges and interests outside their paid jobs. Volunteering can provide many opportunities to use skills in new ways.

Career Changers

Individuals who are changing occupations or career paths bring transferable and specialized skills, a quest for learning, motivation, and often excitement. Their objectivity can be valuable in providing new ideas and perspective to volunteer activities.

They may want opportunities to explore new interests and research possible occupations. They may be searching for bridges to connect them to a new career path. The bridges might be people, skills, and/or experience. Volunteering can play a critical role in helping them to reassess values and set new goals. Voluntary and forced career changes create different needs. Workers who are changing careers because of downsizing and job loss may also appreciate volunteer opportunities that help them maintain or enhance their self esteem and demonstrate their strengths in a positive and appreciative environment.

The New Worker

Self-employed, home-based business people, are virtual and portfolio workers; all workers without traditional workplaces and employee roles. Many bring entrepreneurial skills, independent thinking, technical skills, and flexible time to volunteer roles.

Changing formats of paid work create new volunteer needs. Individuals who work alone, in isolation, may be looking for volunteer roles that meet their social needs. Others are looking for networking opportunities to enhance their business marketing. Many need flexible schedules and short term or project based volunteer commitments. Others are willing to do volunteer work while they travel and are away from home. Some are looking for challenge and variety to balance their paid work.

Individuals Re-entering the Paid Workforce

Individuals choose career paths outside the paid workforce for a variety of reasons including parenting, furthering education, health or relocation. These activities often involve rich and diverse volunteer experiences. People who choose to contribute to family and community life outside the paid workforce provide volunteer organizations with valued skills and significant time and energy.

Many people who plan to re-enter the paid workforce need written documentation to focus, name, and illustrate their accomplishments and skills. References and resume content related to the transferable skills they have used in volunteer roles are valuable to them. They may also appreciate opportunities to maintain or diversify skills. Some may see training opportunities like computer skill upgrading to be a benefit.

Retired and Semi-Retired Persons

As mature and experienced individuals, retired and semi-retired volunteers contribute a wealth of skills, connections, and resources to their roles. Many bring wisdom and leadership ability. Others share honesty, patience, perspective, and humour. Some have flexible schedules and more time to share, but don=t count on it! Consider the varied ages and responsibilities of retired individuals and the issue of voluntary and involuntary retirement.

The needs of retired workers vary significantly from person to person. Volunteer roles should involve activities that match their values and interests, to maintain their skills and connections, provide opportunities for lifelong learning, create ways to share experience in a meaningful way, and meet needs that previous life roles or work may have fulfilled.

Challenges for the Future

Ironically, while the potential value of these mutually beneficial volunteer exchanges can not be denied, community organizations are often slow to recognize the potential to expand all of these opportunities into more meaningful, longer term relationships. While many career builders may present their needs and contributions as short term, each connection we make has the potential to develop into something richer and more long lasting.

Thousands of young Canadians are asked to participate in community service through youth groups or school. More are likely to be exposed to volunteering if support for mandated service learning continues to grow. However, few community organizations have actively responded by developing meaningful or sustainable volunteer opportunities for older children and teens. Issues like risk management and insufficient planning and leadership resources, are often cited as obstacles. Investment in promoting youth volunteerism does not always produce immediate beneficial outcomes and consequently may not be seen as a high priority. How can we work more productively with educational institutions to develop meaningful, useful, and sustainable volunteer roles for young people that utilize their diverse talents and interests?

Massive changes in work arrangements and the restructuring of both the public and private sectors have resulted in many highly skilled and experienced individuals expressing interest in volunteering as a means of exploring new alternatives and making new connections. While some corporate and employee volunteer programs have been successful in encouraging these initiatives, many public and nonprofit organizations that involve volunteers have not been flexible or creative in creating volunteer opportunities that match skills and experience offered. How can we develop exciting new opportunities for both the organization and the volunteer?

Shifting demographics and an aging population will also challenge the voluntary sector to develop more meaningful volunteer roles for the many semi-retired and retired individuals who bring leadership experience, high levels of education and diverse skills to us from their other life roles.

What can voluntary sector organizations do to expand and sustain the potential of volunteers who initially present themselves for short term career building roles? Consider the readiness of your organization to benefit from additional skilled and willing volunteers.

• Are your staff and leadership volunteers skilled in identifying volunteer motivations and needs and responding appropriately?

• Does your organization involve volunteers in a variety of roles which include varied skill levels and interests?

• Have you considered flexible formats and scheduling for volunteer activities that are not time or location sensitive?

• Do you recognize the issues and needs related to new patterns of work, cultural diversity, changing family patterns, and varied lifestyles? How do you respond to them?

• Do you provide development opportunities through advancement, training, or new challenges?

• How do you encourage deeper understanding of your mission to new volunteers?

• Have you considered new approaches like virtual volunteering, which allow volunteers to use computers from anywhere in the world to assist you and those you serve?

• Have you developed some roles that provide high responsibility/high intensity situations which challenge individuals who are interested?

• Do you promote the benefits of volunteerism and support those benefits through your organization's policies and practices?

The changing roles of work, careers, and volunteerism continue to provide exceptional opportunities to enrich the lives of both volunteers and the communities they serve. With thought, innovation, and collaboration career motivated volunteers can become a rich resource to nonprofit organizations.

Wendy MacDonald is a faculty member in the Voluntary Sector Management Program at Grant MacEwan Community College. She can be reached at 780-497-5267 or macdonaldw@macewan.ca

Top of Page

2. New Fundraising Standards of Practice to Become Law in Alberta by Guy Mallabone

The Hon. Iris Evans, Minister responsible for Consumer Affairs, has just released a second draft of proposed Standards of Practice to govern fund raising activities carried out in Alberta by charitable organizations and fund raising businesses. Scott Hood, Consumer Affairs Officer for Consumer Affairs, stated at a February 8 meeting of Alberta post-secondary fundraisers, that these new standards are set to become effective April 1, 1999.

Once these standards are approved, Alberta will become the first provincial jurisdiction in Canada to adopt such comprehensive rules and to apply them equally to anyone asking for donations for a "charitable purpose." The new standards will apply to organizations and individuals conducting appeals in person, or by direct mail, door-to-door or telephone canvassing. They will apply to organizations and individuals making requests for first time donations, renewals of support, major and planned gifts, bequests, etc. They will not apply to lotteries or other forms of charitable giving.

The eight proposed standards are:

• Charitable organizations and fund raising businesses must comply with all relevant municipal, provincial, and federal laws.

• Charitable organizations and fund raising businesses must advocate, within the organization, adherence to all applicable laws and Standards of Practice.

• The principals, directors, managers and employees of charitable organizations and fund raising businesses that must comply with these Standards must effectively disclose to their organization all conflicts of interest and all situations that might be perceived as a conflict of interest.

• Charitable organizations and fund raising businesses must give donors the opportunity to have their names removed from lists that are sold, rented or exchanged with other organizations.

• Charitable organizations and fund raising businesses must not disclose any personal and confidential information about donors or prospective donors outside of the work environment and within the work environment only as appropriate.

• Charitable organizations must, to the best of their ability, ensure that contributions are used in accordance with donors’ intentions, and obtain the explicit consent of a donor or the donor’s representative before altering the conditions of a gift.

• Charitable organizations must use accurate and consistent accounting methods that conform to the appropriate guidelines adopted by the Canadian Institute of Chartered Accountants (CICA).

• Charitable organizations and fund raising businesses must not take unfair advantage of a donor or prospective donor for their own advantage or benefit.

The Minister of Municipal Affairs is expected to establish a Charitable Advisory Committee which represents a cross section of charitable organizations and fund raising businesses operating in Alberta. The committee will meet regularly to discuss issues that face the sector and to provide advice to the Minister on charitable fund raising matters.

Guy Mallabone, CFRE is the Director of Development at the University of Alberta. For further information on these standards of practice, please contact: Scott Hood, Consumer Affairs Officer, Alberta Municipal Affairs, at 780-422-8166, or scott_hood@ma.gov. ab.ca.

Top of Page

3. Donations of Inventory and Charitable Receipting by Betty Thompson

There has been confusion over the issuing of charitable donation receipts for gifts of inventory from a business. Depending on who was asked, Revenue Canada has indicated both that it is an allowable donation and, that this type of donation is not allowed. I have now received information from two different people at Revenue Canada that a gift of inventory is an allowable "gift" and a charitable donation receipt can be issued for the gift.

The amount of the receipt is to be the fair market value of the gift. Fair

market value, as generally accepted by Revenue Canada, is "the highest price, expressed in dollar amount, that the property would bring, in an open and unrestricted market, between a willing buyer and a willing seller who are both knowledgeable, informed and prudent, and who are acting independently of each other." Basically, this asks us to consider what the item would be worth in the open marketplace. For example, if a motorcycle is being donated to an auction by a motorcycle shop, a receipt could be issued for the retail value of the motorcycle. If the item brings in a greater amount at the auction, the receipt is only issued for the retail value. An auction price is not considered to be a realistic measure of fair market value.

Donations of inventory of artists are treated differently when the inventory is the donor's own work. The donor can elect an amount for which their gift will be valued at an amount between

the cost of producing the art and the fair market value of the art. The cost of producing does not include labor, only materials. The receipt can then be issued for this elected amount. The artist must then include this amount in their income in the year of the donation.

The donations of inventory must, as with all gifts, be made without any benefit accruing to the donor in addition to the donation receipt. All other guidelines that apply to any gift apply to gifts of the inventory of a business.

Betty Thompson, FCGA, is President of Thompson, Lo & Associates Inc. and provides financial, management and administrative consulting services to the not-for-profit sector. Betty instructs the course, Financial Management in the Non-profit Sector in the Voluntary Sector Management Program.

Top of Page