Homelessness in America: How Businesses Can Help

Homelessness in America: How Businesses Can Help

Millions of Americans face profound challenges daily — especially those lacking one of the most basic human necessities: a home. November is National Homelessness Awareness Month, a time to reflect on the persistence of this widespread crisis impacting nearly every corner of our nation. It calls for an urgent, unified response. Now more than ever, it’s crucial for businesses and nonprofits to join forces to provide individuals and families experiencing homelessness with the essential resources and support needed not only to survive but to rebuild their lives.

Homelessness Statistics

The latest data indicates that homelessness in America has reached unprecedented levels, with its demographic becoming increasingly diverse — now including entire families, individual youth, and older adults. Furthermore, an estimated 30% of those experiencing homelessness are children, while more than 40,000 are military veterans who served our country and now face this harsh reality in return. The crisis is exacerbated by economic factors that are beyond individuals’ control. For example, the COVID-19 pandemic has had a lasting impact on low-income households, with millions of families often just one paycheck away from homelessness. Rising rent prices, stagnant wages, and a nationwide housing shortage have compounded the issue. As a result, homelessness is not only increasing but also becoming a cycle of poverty that can be difficult to break free from.

According to the National Alliance to End Homelessness, the U.S. experienced a record high in January 2023 when over 650,000 people experienced homelessness on a single night. This marked an increase of more than 12 percent compared to 2022. Additionally, more people are experiencing homelessness for the first time than ever before. From 2019 to 2023, the number of those entering shelters for the first time rose by more than 23 percent.

Most experts agree that the main causes of homelessness include a lack of affordable housing, economic and racial inequality, mental health issues, and substance abuse, among others. California, New York, Florida, and Washington are some of the leading states facing the challenge of homelessness. Cities like Atlanta, Denver, Austin, and Los Angeles are addressing this crisis by creating micro-communities of compact, affordable housing. Not surprisingly, affordable housing in America was a hot topic in this year’s presidential election, with both candidates emphasizing approaches to tackle the issue, according to the Associated Press.

Essential Needs for Those Experiencing Homelessness

Addressing the complex issue of homelessness requires a comprehensive understanding of the most critical needs faced by those without stable housing. While individual and collective efforts are essential, pinpointing the fundamental necessities can help direct resources and support where they are most needed. Here are just a handful of the most critical needs for individuals and families experiencing homelessness:

  • Shelter: According to the most recent 2023 report from the U.S. Department of Housing and Urban Development (HUD), about 40% of the homeless population is unsheltered, living in places not meant for human habitation. This could be on the street, in vehicles, and in abandoned buildings. This makes the provision of temporary and permanent affordable housing one of the most critical areas of need.
  • Food: Homeless individuals are more likely to experience food insecurity, a condition where access to adequate food is limited by a lack of money or access. Feeding America reports that nearly one in eight Americans — approximately 47 million people — are food insecure, with a significant overlap among those experiencing homelessness. For children, one in five are facing hunger.
  • Clothing and Hygiene: Without access to clean clothing or hygiene facilities and products, homeless individuals face barriers to employment, health risks, and social exclusion. Proper hygiene facilities and clean clothing are key to improving mental and physical well-being, yet are often overlooked.

How Businesses Can Support Nonprofits Tackling Homelessness in America

Many nonprofits are emerging from two challenging years in which inflation eroded their gains in donations. In 2023, overall charitable giving dropped 2.1 percent when adjusted for inflation, according to the most recent Giving USA report. Businesses of all sizes play a crucial role in addressing the challenges of homelessness. These partnerships are not only impactful but also simple for businesses to establish.

Nonprofits — those that serve the underserved — are on the frontlines of America’s homelessness crisis, and they need our continuous support. Businesses can choose from various donation options, such as providing surplus products or valuable services, sponsoring community drives, or offering financial support. Here are a few ways businesses can make a positive impact in their communities:

  • Donate Essentials: With financial contributions down, nonprofits struggle with their inventory of essentials such as food, clothing, and hygiene products. By donating bulk wholesale items like socks, blankets, and hygiene kits, companies can help meet the immediate needs of the homeless while relieving financial pressures on nonprofits.
  • Support the Creation of More Affordable Housing: Nonprofits in the U.S., such as Habitat for Humanity, Building Homes for Heroes, and The Fuller Center for Housing, are dedicated to mitigating the affordable housing crisis. Companies can contribute to these initiatives financially or through partnerships, helping to ensure more people have access to safe and stable shelter.
  • Help Local Shelters: Corporate giving can transform local shelters, helping them better serve their communities and even expand their services. By directing funds and resources to community shelters, companies enable these organizations to increase their capacity, improve facilities, and enhance support services for individuals and families experiencing homelessness.
  • Launch Job Training Initiatives: Employment is one of the primary pathways out of homelessness. By investing in job-training programs — whether at your organization or community-wide — companies can empower individuals to regain their independence and stability.
  • Dedicate a Day of Giving Back: Business leaders can provide employees with one or two days of paid time off specifically for volunteering at a nonprofit organization of their choice. This initiative not only supports nonprofits but also encourages community engagement, enhances team morale, and builds a positive reputation for both the participants and the company. Ultimately, it creates meaningful experiences for employees while making a lasting impact in the communities where the company operates.

Homelessness in America is a solvable issue, but it demands sustained, collective action. By partnering with nonprofits, we can amplify our impact, strengthen communities, and bring hope to those who need it most. As we approach the holiday season and nonprofits and relief organizations face a decline in philanthropic giving, there has never been a better time to give back. We encourage all business leaders to reflect on how they can mobilize their resources — through products, funding, services, or volunteer time — to support the vital services that nonprofits deliver to our growing homeless population.

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