Ministry News

How the Recession Is Really Hitting Churches

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Monday, 23 February 2009 15:56

The pendulum of how churches are faring during the current recession swings on a weekly basis, according to whatever news outlet you read. While some declare this a time when masses are swarming into the church, others say the economic turmoil isn't affecting church growth at all.

The National Association of Church Business Administration (NACBA) recently tackled the issue with a national survey specifically targeting churches' financial health. Gleaning from the answers of more than 800 administrative pastors, the survey found that churches are doing relatively well in comparison to other sectors of society-though there are still many reasons for concern.

Although only 32 percent of churches are struggling financially because of the economy, that number marks an 18 percent increase since August 2008. At that time, another 18 percent of churches had frozen or cut staff benefits; now almost half have had to take such action. The latest survey also revealed that 20 percent of churches had to lay off staff.

Still, 63 percent of all churches saw giving remain the same or increase in 2008 over the previous year, and only a quarter had curtailed mission-related activities because of the economy.

"Churches have a little more insulation than other philanthropies and not-for-profit organizations," said Doug Turner, president of Resource Services Inc., a church fundraising firm in Dallas. "People are going to give to their church first." [nacba.net, 2/20/09; dallasnews.com, 2/20/09]