The St. Anthony Foundation, a prominent nonprofit based in San Francisco’s Tenderloin district, has laid off 30 employees, representing 12 percent of its workforce, in response to tightening resources. This decision, described as ‘heartbreaking’ by CEO Larry Kwan, aims to restructure the organization to enhance its financial stability while continuing to serve the community.
The layoffs have affected various programs within the foundation, particularly its ‘community safety services,’ which provided alternative security measures. Employees impacted by these cuts indicated that about half of those laid off were part of this department, which previously operated off-site through contracts with local organizations.
With St. Anthony’s focus still firmly on the Tenderloin area, the organization plans to streamline its services and concentrate on the Golden Gate Greenway vicinity. The layoffs also extended to key roles within the workforce development sector, including management of the women and children’s program, the Tenderloin technology lab, and the companionship program.
St. Anthony’s is known for its extensive outreach, serving 1,000 meals daily, distributing groceries and clothing, providing medical care, and operating a year-long addiction treatment program. After celebrating its 75th anniversary, the organization reported over $45 million in revenue for the 2024 fiscal year, positioning itself as a critical safety net for the local community.
However, the foundation has announced plans for significant changes. During a recent town hall meeting, employees were advised about upcoming deficits, the cancellation of client contracts, and departmental reorganizations, including merging existing programs. Despite assurances of stable financial footing, spokesperson Sally Haims acknowledged that potential funding changes could pose risks to future revenue and overall operations.
According to Haims, all levels of staff, from senior management to frontline workers, were affected by this decision. While some employees had sensed financial difficulties looming, the immediacy of the layoffs came as a surprise. One anonymous worker reflected on the situation: ‘This is something that we knew was coming. Not the layoffs, but the budget issues have been there for some time.’ They further commented on the strength and dedication of those laid off, indicating that they would not have lost their jobs if other options had been viable.
Employees noted that these financial concerns became apparent after a hirer freeze was instituted a few months prior to the layoffs. Many were not prepared for the abrupt nature of the cuts, which impacted well-regarded team members who had contributed significantly to the organization’s mission.
St. Anthony’s funding primarily comes from grants and donations, rather than government support. Major contributors include healthcare institutions like Kaiser Permanente and Sutter Health, as well as tech companies such as Google and Dolby Laboratories. Additionally, substantial grants have been provided by initiatives such as Jack Dorsey’s #startsmall and Michael Moritz’s Crankstart Foundation.
An anonymous employee expressed concerns about the organization’s vulnerability, stating, ‘One would think we are impervious to the current winds of change impacting the nonprofit sector, but alas.’ Despite these challenges, Kwan expressed gratitude towards the departing staff members in his farewell message, highlighting their valuable contributions and commitment to the community.
The restructuring initiative aims to minimize redundancies and improve operational coordination in order to continue supporting the estimated 15,000 clients served each year. In a heartfelt note, Kwan stated, ‘To those leaving: thank you. Your service has shaped lives, including ours. You are part of this community’s legacy, and you leave with our deepest support and gratitude.’
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