Budgetary Woes Greenpeace Downsizes in Germany
The largest German environmental organization is poised to undertake a wide-ranging restructuring. Twenty of the 160 jobs at Greenpeace's German affiliate are to be cut in an effort to curb spending on salaries and benefits.
The reason is not difficult to find: Greenpeace Germany spends more than it brings in. Forty million euros in donations flowed into the organization's coffers in 2005 -- but the group ended the year with an €800,000 deficit. This year too, the organization is financing itself from its reserves -- an emergency solution that can't last much longer. Greenpeace Germany has to reduce its spending by about €3 million in 2007.
"Revenues from donations will continue to stagnate in the coming years," spokesperson Sylvia Kochpredicted. Some 554,000 members support the environmental activists at the moment, most of whom donate less than €100. And new members have been difficult to come by recently. The competition between similar organizations is huge, and Greenpeace is constantly fighting for its share of the limelight. And their last coup is quickly fading into the past. In 1995, Shell wanted to sink the oil platform Brent Spar into the sea -- Greenpeace protested heavily and got massive media coverage for its campaign.
New Greenpeace flagship is needed
But, it's not just stagnating donations in Germany that are burdening the organization. The work is moving elsewere. In the past, activists focused on German companies who were polluting the country's rivers and waterways. Today, environmental problems are emerging primarily in Asia and South America, where industrial growth is taking a heavy toll on the environment. As a result, Greenpeace Germany wants to broaden its worldwide activities.
Which comes at a price. At €39.1 million -- Greenpeace International actually has a budget less than that of its German affiliate. But Germany is going to up its annual contribution from €12.4 to 13 million, making it the largest supporter of Greenpeace International, ahead of the Netherlands and Great Britain as the biggest contributor. To add to the growing costs, Greenpeace's flagship "Rainbow Warrior II" needs to be replaced, and the German activists want to contribute another €8 million to the new vessel. The budget, in other words, is stretched thin, leaving administrators to set difficult priorities. "The cost savings are concentrated on personnel," said Koch.
"The downsizing is disproportionate"
The group hopes to save €1 million by cutting 20 of the 160 jobs. In addition, remaining employees have to take a 3 percent pay cut as well as reductions in Christmas bonuses, vacation pay and other benefits.
The plans for the restructuring have been known since May, but they've only now been made concrete. Only on Friday afternoon did the first conversations take place between the employees association and Brigitte Behrens, head of Greenpeace Germany.
Greenpeace workers hope to be able to save the jobs. "This sudden downsizing is disproportionate to the financial reality," said Christiane Sattler, head of the employees association. "In any event we would want to work on a long-term personnel plan, including the layoffs." The mood at the organization is reportedly bad. "No one anticipated such a hit," said Sattler.
Greenpeace's ability to carry out its campaigns should not be impacted by the move. "The budget remains intact," said Koch.