Corporates still giving, despite the downturn

Wednesday, 10 December, 2008 - 22:00

THE collection tins will come out during the lead-up to Christmas with almost every charity, benevolent institution and not-for-profit organisation asking the haves to donate to the have-nots.

Here in the west, however, it appears that even the prospect of higher unemployment, a gloomy economic outlook and the end of the state's boom is not enough to deter Western Australians from dipping into their wallets during the silly season.

In researching whether WA's charities were bracing for a cutback in donation pledges and sponsorship deals from business as a result of the economic crisis, I had a predisposition that NFPs were already feeling the pinch.

Word was that the global credit crunch and the prospect of the economy entering into two quarters of negative growth - a recession - mean that many cutbacks were being made with the not-for-profit sector bracing for the worst.

One would expect that as business begins to trim the fat around burgeoning expense accounts during global economic hardship, that philanthropic programs and charity donations would be the first to go, right? Wrong.

It seems that even amid dampened consumer and business confidence Western Australians are giving more than ever.

Information filtered through from Queensland-based boutique business management agency Management Effect was that charities providing community services in the eastern states are anticipating lower than expected contributions from individuals and the corporate sector as the global economic situation intensifies.

Management Effect consultant Peter Schofield said the issue would be compounded by rising costs coinciding with increases in demand for their services.

On the contrary, the Australian Red Cross in WA reaped $35,000 in its latest street appeal, almost double last year's record of $20,000.

West Perth-based Asthma Foundation of WA, East Perth-based Anglicare WA and Leederville-based United Way WA, which introduces programs to help raise funds for 190-member charities, all painted a positive picture.

They say the corporate sector in WA was continuing to honour donations and sponsorship deals.

And the likes of the Australian Red Cross and the Cancer Council WA are confident with current pledges, although business has slowed down in making new deals.

It does seem that in a time where previous haves become the new have-nots, the people of Western Australia continue give in record numbers.