Local Red Cross cuts five positions
February 24, 2011
In another sign of the economic tsunami affecting the local nonprofit community, the San Luis Obispo County chapter of the American Red Cross slashed five positions on Wednesday, leaving only two full time and one half time positions.
Sources told CalCoastNews that employees, several whom have been on staff for many years, were informed Wednesday that their services were no longer needed. A consultant had been brought in last year in an attempt to restructure the struggling Central Coast chapter and all employees had been forced to reapply for their jobs.
Similar cuts were reportedly made by the Red Cross in their Ventura and Santa Barbara branches. There are also rumors of a possible consolidation between the Santa Maria and San Luis Obispo offices.
The American Red Cross has struggled for years at the national level despite multi-million dollar donations following 9-11 and the earthquake in Haiti.
In 2010, it was reported that the American Red Cross had debt of $613 million, more than $100 million of which was due to be repaid to lenders that year. Its annual deficit of $33.5 million in fiscal year 2009, was a vast improvement from a deficit of $209 million in fiscal 2008.