News Briefs: Archives 2011 & Earlier

Unemployment Trusts For Nonprofits Merge

Two of the nation’s leading unemployment trusts for nonprofits have merged, creating one of the largest such firms in the country.

Joint Agencies Trust (JAT), based in California, and Northwest Agencies Trust (NAT), based in Washington, have formed a company called 501(c) Agencies Trust. The company will provide services to 1,500 nonprofit members in 44 states and Washington, D.C., but it remains unclear how the change will affect those members.

Nonprofits pay fees to such trusts instead of paying into their states’ unemployment insurance systems. The trusts then manage unemployment compensation claims for their members.

A 1972 amendment to the federal Unemployment Insurance Act gave nonprofits the option of not joining the state systems, but left them with the responsibility of reimbursing the states for unemployment claims that the states pay to the nonprofits’ former employees. For nonprofits, it was like driving without car insurance and hoping not to have an accident.

The fees that nonprofits pay to unemployment trusts are lower than what they had paid into their state systems. In return, the trusts invest those fees, investigate unemployment claims by former employees of member agencies, and manage reimbursement payments to the states. (See “Cutting the Cost of Ex-Employees,” July/August 2005.)

The members of the newly formed trust, which reports assets of $60 million, include the National Human Services Assembly, the Child Welfare League of America, the YMCA, the YWCA, and the Boys & Girls Clubs of America, along with many other smaller nonprofits.

“Combining resources is enabling us to do more for the nonprofit community,” Harriet Tunison, president of the new trust, said by e-mail.


Youth Today is the only independent, internationally distributed digital media publication that is read by thousands of professionals in the youth service field.

Youth Today adheres to high-quality journalistic standards, providing readers with professional news coverage dedicated to examining a wide spectrum of complex issues in the youth services industry from legislation to community-based youth work.


Our organization retains full authority over editorial content to protect the best journalistic and business interests of our organization. We maintain a firewall between news coverage decisions and sources of all revenue.


We are committed to transparency in every aspect of funding our organization. Donors may be quoted, mentioned or featured in our stories. Our news judgments are made independently – not based on or influenced by donors. Accepting financial support does not mean we endorse donors or their products, services or opinions…(read more)

Recent Comments




Kennesaw State University Mountain Logo & Ceneter for Sustainable Journalism Logo
LOGO Institute for Nonprofit News 3 turquoise boxes stacked in "J" shape

Copyright © 2018 Youth Today and MVP Themes --- Published by Center for Sustainable Journalism,
Kennesaw State University, 1200 Chastain Blvd. Suite 310, Kennesaw GA 30144

To Top