The True Effect of the Recession on Museums

The Chicago Tribune been reporting on how the recession has led to cuts in larger cultural organizations and museums across Chicago, and we have reported on the effect on the smaller ones. But how far have these cuts in staff, space and loss of endowments actually affected these centers? The Chicago Tribune and Associated Press ran an article on April 6th that highlighted the rising attendance in some of the large museums in America that have actually cut staff and budgets. You can read the article here: http://www.chicagotribune.com/business/chi-mon-museum-woes-0406apr06,0,6476745.story. The article quotes Michael Conforti, president of the Association of Art Museum Directors, as saying "The public may not see this level of cuts [5-15%] as significantly as the staff do themselves."

Budget cuts and staff reduction really hurt the smaller organizations. Chicago's small to mid-sized ethnic museums and centers were already juggling the challenges of tight funding, an overworked staff and high demand for their programs and services. While Conforti's statement about the effect of staff and budget cuts is certainly true for large museums, the decrease in foundation giving and individual donations will even more dramatically affect the Alliance's core membership. At least 37% of our members that normally function with paid staff have laid off staff members, all of whom are integral to the healthy functioning of these organizations.

A possible positive consequence for our small museums is that families may now view trips to these institutions as a cheap, fun family outing. Many of the small ethnic and cultural museums in Chicago already offer low admission prices and are great alternatives to far more costly outings for families. For example, the Swedish American Museum offers a $10 family rate, the Balzekas Museum of Lithuanian Culture charges $5 for adults and $2 for children under 12 and the Mitchell Museum of the American Indian suggests a $5 donation for every adult.

While the Alliance knows that the current economic climate will make our core members struggle as they try to balance budget cuts and staff reductions on an already tight staff, we know that it can present some new opportunities as well. Our core members now have the chance to attract new audiences with their low cost alternatives to some of Chicago's larger cultural organizations and museums.