Governance Q&A: Fee-for-service vs salary for executive directors

Is it ethical to hire our executive director on a fee-for-service basis rather than on salary? Does this arrangement help us avoid liabilities such as an unjust dismissal suit if we terminate the individual? Many organizations do use this method,...

Governance Q&A: How to manage troublesome volunteers who mean well

I have some volunteers that are more trouble than they are worth, but they are good-hearted people who mean well. Another team leader suggested I fire them. Can a nonprofit ethically get rid of people who want to help? Not...

Governance Q&A: Accepting donations from tobacco companies

My charity has just been offered a large donation from a tobacco manufacturer. Is it ethical to take money obtained from a product that kills when used as directed? Many people are surprised to find there are two sides to...

Governance Q&A: When a board doesn’t follow its bylaws

I am very concerned that the board of a charity to which I belong is not following its bylaws. I read the minutes and also hear about problems from staff and volunteers, and there are numerous ongoing violations. They appear...

Governance Q&A: The intricacies of deciding appropriate employee training

I supervise a number of employees, and always try to help them develop skills relevant to their current work and their career. One employee requested training on project management, and we agreed on a course. She asked to take it...

Governance Q&A: Privacy, conflict of interest or poor communication?

The members of the committee who disperse our Christmas packages for needy families refuse to tell our board who the recipients are, saying the families might be ashamed. I think some of the packages go to relatives of other board...

Governance Q&A: How to respond to a company’s CSR efforts

A company in my community has asked our organization to participate in a stakeholder consultation. Except for small donations, this company has done nothing for charities and nonprofits. It produces noise, smells, waste and traffic problems. Would it be ethical...

Governance Q&A: Nonprofit sector consultants – are they ethical?

My nonprofit needs expert help from time to time. How do I learn which consultants serving the nonprofit sector are ethical? An excellent question! Because consultants serving the nonprofit sector usually earn less than they could earn serving the for-profit...

Governance Q&A: Is it ethical to hire children of staff?

My nonprofit routinely hires the children of staff as summer students. Do you think this is ethical? Like any good ethics advisor, I often give answers of "it depends" because details matter, and I rarely have all the information. I...