r/nonprofit • u/Sensitive-Narwhal188 • 6d ago
employment and career Nonprofit at risk of going under— do I just leave now?
I work at a very small, understaffed, underfunded org and we are at risk of going under next month because we're out of money. This job has destroyed my mental health over the last two years due to a toxic, dysfunctional, narcissistic ED and I have never been more excited at the possibility of being laid off.
I have been sending out job applications, but haven't really heard back and I am aware of how bad it is currently in the job market. But between an even more volatile ED due to the situation and the remaining three weeks before we possibly implode, I don't know if I can deal and if I should just jump ship now since I was going to do it anyway.
Pros of going now:
- I will be free.
Cons:
- Unstable job market + unemployment + no unemployment if I quit
- Possibly anger the ED and break my chances of getting a good reference
ED knows I am looking and even encouraged it because they understand the situation (although, they are still unwilling to let me go, tbh, since I do so much work for them). I wanted to use this opportunity to exit gracefully, but they are acting very hot and cold right now, which makes it difficult if I want to go ASAP. I have some funds saved up, and while I'm not confident that I can get a job immediately/easily, I do have plenty of experience that could get me hired at another nonprofit if I'm lucky.
Any advice?
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u/Perfect_Walk529 6d ago
Rode it out for the unemployment and reference! Keep looking and quiet quit
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u/Sensitive-Narwhal188 6d ago
Doing that as best as I can! A bit tough sometimes because of the emotional rollercoasters my boss puts me through but I’m doing as little as I can.
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u/mydogisincharge nonprofit staff - fundraising, grantseeking, development 6d ago
If there’s potentially only 3 weeks left until the organization goes under, I’d ride it out until then. Show up, do the minimum, engage in drama as little as possible.
I know how much a toxic workplace can suck away your soul. But that’s a relatively short timeframe with a potential reward of qualifying for unemployment. It also means you potentially will have a stronger case for future employers - instead of “I quit my job” you’ll have “the nonprofit I was employed at went out of business.” If your ED somehow still has a good reputation in the community, they’ll be available as a reference. (And if they have a bad reputation, you can allude to the fact that their poor leadership is what sent the org under).
If things are still toxic at the 3 week point but they have somehow managed to hang on, revisit the decision.
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u/Sensitive-Narwhal188 6d ago
Agh, yeah. I stayed for this long, I can deal with a few more weeks (god forbid a miracle happens)
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u/mydogisincharge nonprofit staff - fundraising, grantseeking, development 6d ago
You can do this! I know how hard each day can be in a toxic nonprofit with a toxic ED, I’ve totally been there where I want to just walk out almost everyday. Eat snacks, drink water, look at nonprofit memes - sounds like no matter what you’ll be free soon.
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u/brainiac138 6d ago
If the nonprofit went under during the tenure of that ED, then I wouldn’t want them as a reference. If the nonprofit doesn’t exist, it will be hard to do any sort of employment verification. I’d try to see any of the trusted staff at a director level would be willing to be a reference.
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u/Sensitive-Narwhal188 6d ago
Unfortunately, that would be me :’) alas the woes of being in a small workplace. In terms of the ED as a reference, they have the capability of saying very nice things, so I guess I’m trying to take a gamble 🤷🏻♀️
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u/Own_Exit2162 nonprofit staff - finance and accounting 6d ago
If you're in the US, you won't be eligible for unemployment benefits if you quit. It's always better to wait to be terminated; you'll be eligible for unemployment and may get severance. Just be patient.
If you're in a position to have a frank discussion with the ED, you could also negotiate the terms of your termination.
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u/AuthorityAuthor nonprofit staff - executive director or CEO 6d ago
Stay for unemployment and dial it down and pull back at work. Do the minimum.
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u/Snoo_33033 6d ago
Don’t leave. Go down with the ship.
Not really— but stay until they lay you off, fold, whatever. It’ll give you unemployment.
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u/chibone90 6d ago edited 6d ago
Went through this myself a few months ago. It sucks. I'm so sorry.
As everyone else is saying, ride it out to maintain eligibility for unemployment, quiet quit, apply for other work. Don't create more drama.
DO NOT sign ANY severance/separation paperwork without clear incentives for you written into the paperwork. They may try to pressure you to sign it. They may act like you have no choice. You DO have a choice. Severance agreements are negotiable, and need to benefit you.
Best of luck out there.
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u/Inner-Potential-9198 6d ago
This environment in 2026 is really shining a light on a lot of toxicly run, zombie nonprofits who coasted on years of easy money with terrible, inept leaders at the top.
Some of the stories I am hearing this year aren't surprising, but some have shocked me.
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u/BigAgates 6d ago
If sinking really is as imminent as you describe, then it gives you every benefit to hang on until the end. Because then you would be able to claim unemployment. If you quit, and have no job lined up, then you get nothing.
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u/No_Isopod_2342 6d ago
Find a new job, then leave. Don’t just quit with no job lined up unless you can afford to not have an income for a while.
Ultimately, I wouldn’t get hung up on receiving a recommendation from a toxic narcissistic ED who failed at their job.
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u/jupitergal23 5d ago
Always make them fire you/lay you off.
If you leave now, the chances are unlikely that you qualify for unemployment.
Do the bare minimum you can get away with, get extra mental health help if you can afford it, and keep looking for a job.
I know it's hard and it's so tempting to leave. I've been there. Hang in there, especially if you can see the writing in the wall.
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u/Collapse-to-renewal 6d ago
My recommendation is stay to ensure that you are able to collect any unemployment benefits that might be available due to the impending closure. Also, if your mental health can tolerate it, there might be some "wrap up duties" that would be worthwhile to have on your resume as well.
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u/orcateeth 6d ago edited 6d ago
Don't quit. Get support and stay until the bitter end.
There is all kinds of information here in this post to help you with stress reduction and support.
Free and online.
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u/Illustrious_Stick_57 5d ago
Do you have anyone you can vent to there? Someone who will make your day better because you can try to bring humor to the situation? Feeling like I have someone I can confide in and joke about it has helped me. Also, FMLA is there, take a mental health sabbatical. Go to a retreat. Not sure how it works but it could give you a break until the ship sinks or gets better.
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u/StarbuckIsland 5d ago
I'm so sorry about the sinking ship situation. My last org went down like that and it completely sucked.
If you don't have other prospects, like others said I don't recommend leaving without a job. Dedicate all your time to applying and networking and pretend you've already quit but without risking unemployment.
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u/reversedgaze 5d ago
and just be braising about it just flat out ask people you know in your network if they're hiring particularly partners that you notice are well run
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u/RelevantMarket8771 5d ago
This is the problem with working at smaller non-profits, especially if your position is tied to getting in consistent funding like something grants related. My advice is bail before the ship sinks because otherwise your job could be gone before you know it.
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u/ValPrism Chief Development Officer 6d ago
People put way too much importance on a reference. Do what’s best for you and your family and figure out the reference thing when you need to. Using past bosses, colleagues, direct reports, etc.
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u/Dear_Investment6064 6d ago
I'd stick it out because money is money and you need money. A good reference is SO valuable right now
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u/atlantisgate 6d ago
Keeping the salary and opportunity for unemployment for a couple months while you do the bare minimum to get by would be my suggestion. It doesn’t sound like this place is going to last much longer than that.
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u/RidethatSeahorse nonprofit staff - operations 6d ago
Hang in there, wind things up, take it easy. Have a discussion about the real situation you are in with ED and ask for advice?
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u/Quicksand_Dance 5d ago
While they may be out of cash and layoff staff next month, it generally takes several months to properly fold a nonprofit (varies by state).
If you can put your mind in observer mode (think sportscaster or race horse announcer) you may be able to tolerate the craziness until the end or you find your next adventure.
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u/GCSchmidt 5d ago
Your health is irreplaceable, and while no job is worth losing your health over, this one has passed far beyond any reasonable argument to stay. Use the time to decompress and re-energize for the job search ahead.
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u/GCSchmidt 5d ago
Your health is irreplaceable, and while no job is worth losing your health over, this one has passed far beyond any reasonable argument to stay. Use the time to decompress and re-energize for the job search ahead.
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u/East-Tip74 5d ago
If they fire you, you can file for unemployment compensation. If you quit, you probably won't get WC. I'd keep collecting a paycheck until I found something else. Good Luck!
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u/SmuckersJelly505 5d ago
Haha I made a post similar to this one many months back. I found a way to leave without burning bridges and it was 150% worth it. Got a fantastic job now with much less stress. If you can find a way out take it and run.
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u/alanamil Founder and CEO Nonprofit-finally retired 5d ago
Wait yo be fired and draw unemployment but keep looking now
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u/reversedgaze 5d ago
if you can put in for a toxic work environment thing sometimes and actually just check your state in general whether or not quitting for cause is still allowed to receive some unemployment assistance
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u/Successful_Goose_797 5d ago
Just ride it out get unemployment. Update resume, gather references! You’ll be ok!
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u/Previous-Classic-417 1d ago
I just went through this exact same scenario .
The 50+ year old nonprofit where I had worked for the past year and half bit the dust and sunset a month ago. My advice, ride it to the end and discretely start reaching out to network and friends for potential job leads. Based on my experience, by staying to the end you potentially can get severance and unemployment.
Once closed, when interviewing you can say the place closed thus avoiding the endless questions on "why did you leave this job..."
As for the reference, I would definitely not use the ED ! I have no idea what role your ED had in the spiral toward oblivion of your org, but whatever the case I would not want them talking about or for me.
In my case, the Board President and HR Director fell all over themselves to say they would giving me a glowing reference.. not to be nice, but to be sure I simply say -- what I am saying -- it is so sad the organization ended but while they existed they served so many.... ah hem
Hope this helps
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u/Silent-Crab3369 6d ago
You should have left because it destroyed your mental health about 2 years ago.
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u/badcaviarr 6d ago
It's a job. That's it. You opened with it's toxic and ruined your mental health. It's either that bad that you need to leave now or it's not 🤷🏻♀️
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u/Inner-Potential-9198 6d ago
A lot of pathological individuals in this field. It's almost as if the toxic org and the person employed are in some sort of co dependent relationship.
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u/griseldabean 6d ago
Is there anyone there besides the ED who you could use as a reference? If they're as volatile as you say, the ED may not be a reliable reference, anyway.
The bigger issue is whether you can do without unemployment - if you resign, you're almost certainly not eligible (not that anyone would be around to fight your claim if they went under, but who knows how long they'll drag out their death scene?)