The Community Cycling Center turned 30 years old in July. It helped to make Portland, Oregon synonymous, not only with cycling, but with non-profit cycling advocacy.
It may not, however, make it to 31. The organization is in a severe financial crisis that may be a reason why it has had six executive directors in the past five years. Its directors say the CCC can survive only if it receives $115,000 in donations during the next three weeks.
So how can such an organization, with its well-re bike shop, be in such dire straits—in Portland?
According to the CCC, its troubles began during the COVID-19 pandemic. While demand for bikes, parts and services surged, lockdowns ruptured supply chains, making parts and accessories difficult, if not impossible, to find. At the same time, donations to nonprofit organizations like CCC dropped, in part because people were out of work.
But a document provides other reasons that would elicit “I told you so”s from the editors of the Wall Street Journal. One is a “top heavy” organizational structure. According to the doc, there are too many leadership positions that could be filled with lower-paid workers. Another reason cited is employees who are kept year-round and provided with benefits and yearly cost-of-living increases.
Now, if you have been reading my blog for a while, you have probably guessed-correctly—that I am all for shop employees, or any other workers, making a living wage and not having to worry about financial ruin if they’re sick or hurt. That it’s cites as a cause of CCC’s crisis points to an inherent dilemma in the bike industry: In most places, it’s seasonal and for all but the mega-retailers, most of whom are now online, profit margins are small and overhead costs are high, hence the low wages paid to mechanics and other employees. The lack of pay (and, in most shops, benefits) is probably why the retail bike industry isn’t seen as a career option to anyone who doesn’t own the business.
I am not familiar with CCC’s administration. I suspect, however, that one reason why it has “too many” full-time leadership positions is that, like other community-centered nonprofits , it’s trying to promote opportunities for people who might not otherwise have them. I would hate to see any organization give up on such a worthy endeavor, but I imagine that it’s not easy to sustain.
