Spring, 1998, Vol. 4, No. 2

COMMENTARY

Burying the Hatchet: Partnerships with Profit

By Susannah R. Quern, a second-year SSA student with a concentration in administration. Her field placement is at the Field Foundation.

As members of the academic and non-profit communities, many of us find ourselves developing and fostering a healthy skepticism about the private sector. Often vilified in class discussions, the private sector is given the ugly face of managed care. We grow angry at the lobbying power of corporations and industry, and when our rage reaches a feverish pitch we entertain fantasies of razing the Graduate School of Business Administration building to make room for an SSA parking lot.

Undoubtedly, much of our attitude is understandable. The discrepancies in status and salary between the for-profit and not-for profit sectors are difficult to justify, and some corporate practices may be difficult to defend on ethical grounds. As we turn toward the future of human services, however, we are faced with an inevitable reality: the non-profit and private sectors must learn to work together. No longer allowed to maintain a polite and peaceable distance from one another, non-profit and private business are beginning to develop new and important relationships which move away from the previous donor-recipient paradigm.

Nowhere is this more apparent than in recent welfare reform mandates. Welfare to work requirements demand the partnering of social services with the for-profit sector. Neither sector can accomplish the job alone. It is therefore incumbent upon those of us in the non-profit sector to shift our thinking. The time has come to seek out the commonalities in the two sectors rather than exploit the differences. Only then can we move from adversaries to partners.

How does this translate into practice? It is surprisingly less difficult than it seems and can be achieved within the parameters of our practice as social workers. Perhaps the easiest way to approach our work with the private sector would be to approach it in the same manner that we would approach work with a client. First, we should recognize the stereotypes and preconceptions which we bring to interaction with the private sector. Secondly, we must listen carefully to what the private sector is telling us about their capacity for human service work. Thirdly, we should move towards solutions which maximize the resources of both sectors. Finally, we must be willing to assume an educational role as many business are venturing into unchartered territory by undertaking welfare to work initiatives.

Viewed in this framework the task is less daunting, the possibilities more broad. And any investment we make in learning to work with the private sector is ultimately an investment in the well-being of our clients. The next question, then, is where to begin and what beginnings have already been made? A brief look around the nation reveals that many corporations have begun employment initiatives with the help of non-profit organizations and community-based agencies. The road, however, has not always been smooth. In an attempt to address some of the more difficult issues, the National Governor's Association convened a Private Sector Work Group to report on the progress of these new partnerships. A sampling of their findings are listed below and posted on the Web at www.nga.org:

* The private sector is often expected to provide education, job training and life skills when they are better equipped to provide specific job-related skills.

* The administrative costs associated with public subsidies such as targeted job tax credits often nullify the financial benefits of hiring people in these programs.

* Business is more interested in productive unsubsidized workers than subsidized unproductive labor.

* The variance in regulations from state to state is a disincentive for national companies to participate in publicly funded employment initiatives.

* Effective job training blends private sector goals of accountability measures and an outcome focus with a non-profit approach.

* Executive management must be committed to an employment program and front-line supervisors must be willing to learn how to work with this new population of employees.

The list is not surprising, but reveals a number of commonalities between the sectors. Both private companies and non-profit organizations struggle with the administrative burden of public programs, and both are concerned with the well-being of their front-line staff. As we begin to tenuously move forward together, it will be helpful to keep these common themes in mind.

The bottom line is this, community based agencies need the resources of private companies. They need a place for people to be employed. On the other hand, private companies need community-based agencies to provide training and supportive services for those just entering the workplace. The time has come to put aside our differences and lend help to the private sector as it begins working with a new population. In doing so, we will ultimately be fulfilling our professional calling to help those in need.

Susannah R. Quern is a second-year SSA student with a concentration in administration. Her field placement is at the Field Foundation.

Return to the Table of Contents

Back to Adovocate's Forum