Thank you to MacRumors staff to replying to my and others' concerns.
Source for this? I don't see anything stating the Red Cross keeps 70 percent of donations for administrative costs.
I think criticasm is wrong about this and maybe is accidentally confusing the percent of donations that goes towards services (which would be in line with what you say below).
I do, however, reports from NPR on Red Cross spending that suggests ~70 to ~75 percent of donations go towards services, with the rest being used for administration and fundraising, so there is some cause for concern if that's still the case. There were specific concerns raised about spending in Haiti and following Hurricane Harvey.
https://www.npr.org/2016/06/16/4820...fundamental-concerns-about-red-cross-finances
https://www.npr.org/sections/thetwo...rtion-of-donations-will-go-directly-to-harvey
https://www.npr.org/2015/06/03/411524156/in-search-of-the-red-cross-500-million-in-haiti-relief
https://www.npr.org/series/377506201/special-report-on-the-american-red-cross
Yes, and that is enough in my book to rule them out. Their mismanagement in both cases was reported in several places, but since you already posted the links to NPR (including one that mentions that the Red Cross now refuses to talk to NPR about how much of its efforts go towards relief) that is probably enough for people to get an idea of what the complaints are. NPR is not some conspiracy site; there are legitimate concerns about how they recent deal with disasters.
ProPublica is another source I know that has been reporting on concerns about the Red Cross for a long time. For a more mainstream source, here is an NBC report that gives a nuanced analysis of their response to Katrina and 9/11, with criticisms and defense of the Red Cross.
http://www.nbcnews.com/id/9518677/n...ina-relief-red-cross-criticized/#.W2S_D_5Kgy4
The Red Cross's own website says that on average, 91 percent of every dollar is invested in humanitarian services and programs. In 2016, the Red Cross says $286M was spent on fundraising, management, and general expenses out of $2,721.5M, accounting for approximately 10 percent of spending.
http://www.redcross.org/news/press-release/How-the-American-Red-Cross-Spends-Your-Donations
One issue many people have with the Red Cross is how much their administrative team makes. Even Business Insider said that the Red Cross "may want to reconsider its priorities" when it found out that their three top execs made over $500,000
each. That's more what you would expect from a private sector company, not a charity.
https://www.businessinsider.com/executive-compensation-at-the-red-cross-2012-11
The site says for major disasters, a minimum of 91 cents for every dollar raised is allocated to programs to help affected people.
Charity Navigator suggests that 89.3 percent of the Red Cross's 2017 expenses were spent on programs and services, with 4.2% going towards administrative costs and 6.4% going towards fundraising expenses.
https://www.wwltv.com/article/news/...oes-red-cross-give-to-those-in-need/470270671
https://www.charitynavigator.org/index.cfm?bay=search.summary&orgid=3277
As one of the articles you linked to said, the problem is that the Red Cross, unlike many charities, is very tight-lipped about its spending, so it's hard to verify its claims. I hope they have improved, but IMO there's a big difference between 89.3 percent and 70-75 percent like you mentioned earlier. It's hard to know what the truth is for the exact figures.
The Red Cross has set up shelters in Shasta County at several locations, providing beds, food, drinks, and health services and it operates a long-term fire relief program in California.
https://www.redding.com/story/news/...hasta-college-can-take-plenty-more/854211002/
http://www.redcross.org/news/press-release/RED-CROSS-OPENS-SHELTERS-FOR-CARR-FIRE-EVACUEES
I'm not advocating for the Red Cross here, but it sounds like there is at least some misinformation that's being spread. I am more than happy to list alternate places where MacRumors readers can donate if someone wants to suggest some good alternatives that are known to provide more assistance to victims.
Please give me your suggestions and I'll add them to the post.
In general, since it comes up every time there's a post about donations via iTunes to the Red Cross, maybe MR could put a note that if people don't want to use iTunes to donate to the Red Cross, there may also be other local and national organizations that are assisting victims. I know it's not MR's job to organize disaster relief, but since there are questions by reputable sources about Red Cross's spending, and people turn to MR for reliable news in addition to the rumors, I think some people just assume the Red Cross must be the best option.
The problem is that each disaster is different, and since they happen in different places it's hard to give blanket suggestions, which is probably why people turn to the Red Cross by default. I checked and Charity Navigator suggests four organizations currently (the Red Cross is notably absent). So that might be a place for people to go for this time.
https://www.charitynavigator.org/index.cfm?bay=content.view&cpid=5456
Doctors Without Borders is one option I go to to help out with donations for many disasters, but that doesn't really apply in this case for the California wildfires.
This article on Slate is critical of the Red Cross and says it's not entirely the organizations fault — they're not designed to deal with major disasters, and people give such an influx of money they sometimes can't figure out how to spend it. I'm not saying Red Cross or the people that work for it are evil; there are questions though if they are effectively managed and put the money where it can help the most.
http://www.slate.com/articles/busin...money_to_the_red_cross_we_need_a_new_way.html
It ends with a quote that maybe people critical of the Red Cross, including me, may want to consider. It's about Harvey but applies more generally:
Slate said:
If we really care about the people of Houston and the rest of the Gulf Coast, we have to commit fully to a combined, sustained, serious response to recover and rebuild—meaning lots of money, lots of attention to helping those areas adapt for the future, and lots of concern for the people who we know are most vulnerable. We all need to come together to prevent future disasters, whether the growing risk of a
major Oklahoma earthquake, a
Caribbean tsunami, and especially the many threats we face from climate change. The sooner we acknowledge and act on that and stop debating the best place to send $20, the better off all of us will be.
Even if I don't think the Red Cross is the best option, I think any help is better than no help and it's nice that MR posts when there is a disaster so that people know they can help. I hope people who are interested in helping found this discussion and information from you and other staff members useful. Thank you jclo and MacRumors to listening to our concerns.