What happens to think tanks during recessions?

Submitted by Dismal_Algae9662 t3_yjjfpd in washingtondc

I'm currently in an entry-level role at a think tank and my coworkers and I aren't sure how we'll be affected by any upcoming economic trouble. We don't have a lot of insight into our funding, but a few supporters have started laying off their own employees. I'm certainly no expert on business operations but I'd imagine that companies would reduce funding for external organizations before laying off their own employees?

How do recessions impact think tanks? Could there be layoffs at think tanks?

I've tried googling around but the results are just think tank research on layoffs.

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Comments

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roadnotaken t1_iuo3gns wrote

There can be layoffs anywhere, especially if funding is decreasing. Think tanks are not immune to layoffs.

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lc1138 t1_iupck6h wrote

Not in insurance, insurance is recession proof

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giscard78 t1_iuod1df wrote

It varies wildly. Without knowing who funds your tank, it’s impossible to know. Look up your organization’s budget over the last 20 years, look up the funding sources over the same time.

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anonymousprincess t1_iuok0sc wrote

Find someone who has been at your organization for a long time and ask them what leadership has done in the past. Guarantee they will have some stories that will either calm your concerns or spur you to update your resume.

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toum112 t1_iuonpw7 wrote

If it’s a 501c3 you can look up the annual tax filings online. There you can determine how much money the organization has in reserve and generally how much it spends each year.

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KombuchaLady3 t1_iuoo447 wrote

If you happen to be at one of the think tanks that unionized during covid office closures, there should be something in the contract covering layoffs.

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AnnaPhor t1_iupc6q5 wrote

Do you know how your position is funded? Organizations work in different ways -- some have diverse grant funding, some have funding from 1-2 sources including foundations, some have donor funding. Some positions may be funded from a specific donation stream. Others may come from overhead.

I recommend that you ask about the funding stream for your specific position (I recommend this to ANYBODY applying for jobs in the non-profit sector).

Do you have internal annual reports available to you? Those sometimes also have annual funding details.

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bwood07 t1_iupgkdr wrote

Agreed, it will depend entirely on how the position is budgeted. Think thanks usually budget positions for the long run based on guaranteed funding - so really depends on the budgets and how much discretionary spending comes from year by year funding.

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sabarlah t1_iupu1at wrote

The above two comments are really the only ones that matter without more information. Also it’s great advice to always understand where your position’s funding comes from.

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SSSS_car_go t1_iurbck8 wrote

I can speak only for the four DC think tanks that are my clients (I’m a freelance copy editor), but there was an increase in work sent my way during the 2008 recession. That tells me that they laid full-timers off but kept the main purpose of their organization alive.

This is probably a question to ask your place of work, though, since their financial health will depend on their sources of income.

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metrazol t1_iuvsx3u wrote

They can be counter cyclical. Not always, but if they're privately funded, you're fine. Always know how your pay check is funded.

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Less_Wrong_ t1_iup30y5 wrote

They’ll overwork you, give you 0% COLA, and may lay you off. Just like private sector

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cptjeff t1_iurrmyj wrote

Some think tanks are funded by highly wealthy interests to promote their agenda. Some are funded by grassroots donors. Which kind you work for will affect whether you're going to be affected or not.

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