Workers learned on Friday that the St. Anthony Foundation, an alternative soup kitchen and service provider based in the Tenderloin, laid off 30 employees, or 12 percent of its workforce, according to an email obtained by Mission Local.
It’s an effort to restructure in a time of “tightening resources,” the foundation’s CEO wrote.
CEO Larry Kwan called the decision “heartbreaking” in his email to staff, and said the nonprofit would focus its work in the Tenderloin, streamline its services and boost financial stability.
Employees familiar with the cuts said that about half of the layoffs were among the nonprofit’s “community safety services,” its alternative to traditional security guards. These workers were employed off-site in contracts with other organizations in the neighborhood, but would now focus on the Golden Gate Greenway area, where St. Anthony’s is located.
Part of St. Anthony’s mission was to train those who used its services — often people experiencing homelessness or with limited work experience — to enter its workforce. That goal appears to be affected, as multiple people in the workforce development sector were laid off, employees said.
Other laid-off employees included leaders of the women and children’s program, the Tenderloin technology lab, the religious mission, and the companionship program.
St. Anthony’s is a major presence in the Tenderloin. It serves food to 1,000 people a day, according to its website, and distributes groceries and clothing to hundreds, offers medical clinics, and contracts with shelters. It also runs a free, year-long addiction treatment program at the Father Alfred Center.
The organization, which recently celebrated its 75th anniversary and reported more than $45 million in revenue for the 2024 fiscal year, calls itself the “most comprehensive safety net service center in San Francisco.”
But at a town hall meeting this week, employees were told the organization was facing a deficit and was cancelling client contracts and reorganizing departments, including merging women and children and other services into existing programs.
St. Anthony’s spokesperson Sally Haims confirmed the layoffs. She said that “while St. Anthony’s remains on stable financial footing today, potential changes in funding could impact future revenue in certain service areas, creating financial risk for the overall foundation.”
Haims said that “all levels of the organization were impacted, from the C-suite to middle management and frontline.”
Some employees said they had been aware of looming financial troubles.
“This is something that we knew was coming. Not the layoffs, but the budget issues have been there for some time,” said one employee, who confirmed they were laid off on Friday but wanted to remain anonymous.
“All of the individuals I am aware of who were impacted were beloved, were hard-working, were incredible team members. None of us would have been laid off if the CEO had felt there was another option,” the employee said.
Another said that the organization called a hiring freeze a few months ago after abruptly rescinding jobs that had been open for applications. Still, many employees were not expecting the sudden cuts.
St. Anthony’s depends on grants and donations instead of government funding, and receives support from healthcare giants like Kaiser Permanente and Sutter Health, tech companies like Google and Dolby Laboratories, and foundations like Jack Dorsey’s #startsmall initiative and Michael Moritz’s Crankstart Foundation. The latter two have provided millions in grants.
“One would think we are impervious to the current winds of change impacting the non-profit sector, but alas,” said an employee, who also wanted to remain anonymous.
Haims said the restructuring was part of an effort to reduce redundancies and increase coordination, so the organization could keep supporting some 15,000 clients each year.
“To those leaving: thank you,” Kwan wrote. “Your service has shaped lives, including ours. You are part of this community’s legacy, and you leave with our deepest support and gratitude.”
There is no form 990 on file for St. Anthony’s Foundation.
On Glassdoor, St. Anthony’s is advertising for a CFO at $215K. I’d imagine that Larry Kwan is pulling down 30-40% more than that based on current salary practices.
A +50% increase in overdose deaths this year (since Lurie’s new administration and the new supervisors in D3, D2 and D5 came on the scene). Scandals to do with SFPD’s ballooning overtime scam. Police raids have increased. Food deserts are expanding. Lurie’s administration social media posts trumpet “abundance” and “joy” and street festivals. Super Bowl. Soccer. Night markets. Outsidelands. San Franciscans rely on food security, public transit snd healthcare. Focus on that. St. Anthony’s is legendary. What is Lurie’s and D5 Supervisor Bilal Mahmood’s plan to help St. Anthony’s?