Managing a Mixed Workforce: HR Best Practices for Nonprofits with Staff and Volunteers Working Side by Side

When paid employees work alongside volunteers, unique HR issues can arise which require adaptive managerial approaches. Although these groups share some similarities, they are fundamentally different.

They often have varying motivations, expectations, degrees of accountability, and legal obligations, but blending these two types of workers is critical to building a strong and successful not-for-profit organization. HR can support that goal by strategically implementing clear structures that create alignment, reduce friction, and foster a unified culture.

The Dynamics of a Mixed Workforce

In the nonprofit setting, a mixed workforce describes a staffing strategy that utilizes the support, skills, and dedication of both paid employees (full and part-time) as well as volunteers. Relying on such a model allows nonprofits to optimize their staffing budgets and quickly scale up or down to meet immediate and long-term needs.

Employees are a nonprofit’s core. They handle the day-to-day operations, direct fundraising campaigns, and maintain the organization’s institutional knowledge. As paid contributors, employees have a higher level of accountability to the organization than volunteers and risk discipline and/or termination if they do not meet expectations.

From a legal standpoint, employees enjoy various protections, and nonprofits are required to adhere to certain minimum standards in their treatment of paid staff. Compensation, workplace safety, and leaves of absence are a few key areas regulated by legal frameworks.

Volunteers are community members that have a particular interest in the organization’s mission and donate their time and skills to advance that cause. Their time commitment may not be as scheduled as employees. They may have regular hours, or they may assist with standalone events or projects.

As unpaid contributors, volunteers are not incentivized by financial rewards or career growth but by their desire to support a cause they care about. They have some legal protections, but these safeguards are not as comprehensive as those afforded employees.

Although both classes of worker share the same objectives, their motivations and expectations can differ significantly, making effective management and engagement of these distinct groups multifaceted.

Successfully Managing a Mixed Workforce

Proactive HR strategies can result in a harmonious, productive environment.

1. Clarify Roles, Responsibilities, and Boundaries

Tensions often arise from a lack of clear roles and responsibilities. Blurred or overlapping duties can easily create confusion and resentment that contributes to individual frustration, conflict among team members, overreaching, or alternatively, a lack of accountability.

Clear roles increase efficiency, reduce ambiguity, and individuals are less likely to avoid responsibility or doubt others’ efforts. Clear avenues of responsibility also assist in evaluating personal contributions, enabling those efforts to be acknowledged fairly and consistently. Such recognition can be especially valuable for volunteers, who may sometimes feel overlooked or excluded.

2. Focus on a United Team & Culture

An inclusive work environment encourages employees and volunteers to work together, which is good news for advancing your mission. Organizations that do this effectively cultivate teamwork, prevent internal competition, and avoid creating hierarchies where volunteers feel undervalued or like “second-class citizens.”

As appropriate, seek opportunities to involve volunteers in your organization:

  • Include them in team meetings
  • Publicly recognize their wins and contributions
  • Identify opportunities for teambuilding between employees and volunteers
  • Invite volunteers to “social” events (e.g., holiday or birthday celebrations)

When leadership regards volunteers as integral contributors and actively incorporates them into the team, employees are likely to do the same. In turn, volunteers feel valued and team unity is strengthened.

3. Tailor Communications

Effective communication is particularly important in environments comprising both employees and volunteers. Communicating with your entire staff is not as simple as sending out an email or posting on internal networks, such as Teams or Slack, when volunteers do not have access to these platforms.

Factors such as cost and security will drive the type and degree of access granted to volunteers and will ultimately shape your communication practices with them.  So, in many instances, you will need to consider your audience and tailor the content as well as the delivery method.

4. Inclusive Onboarding

Effective onboarding sets your staff up for success. Although volunteers should not be included in your entire process, they should attend those portions that apply to their situation. Reinforce their understanding of your mission, explain how your organization functions, and establish expectations. Onboarding is also the appropriate time to introduce volunteers to any applicable legal frameworks (e.g., reviewing anti-harassment policies, workplace safety, etc.) and to complete required documentation (e.g., liability waivers).

5. Training for Both Groups

Most organizations provide some form of learning and development for their paid employees. This investment expands skills, improves productivity, and ensures legal compliance. Managers are often provided additional development opportunities to improve their supervisory skills, and when volunteers report to them, they may benefit from sessions that focus on leading mixed workforces.

Relevant learning and development opportunities should be open to volunteers, so long as the focus relates to the tasks they perform for the organization. For example, if your voluteers handle sensitive information or provide services that involve compliance, it would be wise (and in some instances required) to train all staff handling these matters. Nonprofits must proceed cautiously in this area, however, because being overly generous with training might unintentionally cause volunteers to be reclassified as employees.

6. Understand the Legal Landscape

While you want to encourage a cohesive and harmonious workforce, nonprofit HR professionals and managers must always keep in mind any legal schemes that require separate treatment of these classifications, such as the training limitations just discussed.

Another key consideration are Federal and state wage and hour laws. These laws prohibit volunteers from performing commercial activities for nonprofits or tasks for which they should be compensated (i.e., work also performed by employees).

Nonprofits must also carefully consider any payments given to volunteers in the form of rewards, gifts, or stipends, as they could inadvertently transform volunteers into employees. If this were to happen, your nonprofit could be liable, at a minimum, for back wages and tax penalties.

A Unified Workforce Drives Success

Relying on both employees and volunteers to move your mission forward offers numerous benefits but also introduces unique HR challenges. When HR strategies are thoughtfully designed and executed, organizations can leverage the strengths of each group. Such a strategy will build a workplace that not only adheres to legal requirements but also promotes mutual respect, enhances morale, improves retention, and drives success for everyone associated with the organization – staff, benefactors, and end-constituents.