Metro Atlanta YMCA to lay off employees

The downturn in the economy is now affecting one of the country’s oldest and beloved nonprofit agencies: the YMCA.

On Friday, the YMCA of Metro Atlanta confirmed plans to lay off an unspecified number of workers as part of a plan to cut 4 percent to 5 percent from its $100 million annual operating budget.

“We are going through a down business cycle like everyone else,” said Fred Bradley, chief executive of the metro Atlanta YMCA, which operates 28 facilities in 13 counties. Bradley said the YMCA’s board of directors made the decision in recent weeks and would iron out specifics in coming weeks.

“This is still a very fluid situation,” Bradley said.

The metro Atlanta YMCA employs about 600 full- and part-time employees. Most of those being laid off will be informed by the end of September, but some could be informed earlier or later. Another round of layoffs could come next year if revenue collections do not improve.

The metro YMCA takes in about $100 million a year. Seventy percent comes from membership fees; the other 30 percent comes from government grants and private donations.

Bradley said the YMCA expects income to be off by about $4 million or $5 million at the end of the current fiscal year, which ends Dec. 31. The YMCA will cut $4 million to $5 million in operating costs, which includes payroll, Bradley said. The cuts will extend through the end of 2009 and possibly beyond, Bradley said.

“The economy may have a correction. We just have to prudent,” said Carol Cookerly, a metro Atlanta YMCA board member.

Bradley said the biggest drops in revenue this year have been in two areas: general memberships and day care.

Founded in 1858, the YMCA of Metro Atlanta is a “Judeo-Christian association of volunteers, members and staff, open to and serving all, providing programs and services which develop spirit, mind, and body,” according to its Web site. For many, it has been a family- and wallet-friendly alternative to traditional fitness centers. Individual memberships are about $80 per month; family memberships are about $150 to $175 monthly. Fees are determined on a sliding scale depending on income. Financial assistance is available.

“It’s discretionary spending, and we understand that,” Bradley said. “People are having to make cuts, and unfortunately, that’s affecting us.”

The metro Atlanta YMCA is in no danger of going out of business, Bradley insisted.

“We are one of the oldest youth-serving nonprofits in Atlanta,” said Bradley, who’s retiring in December. “We’re still as vital as ever and expect to be around for another 150 years or more.”