Nonprofit organizations in 2022 provided 1.3 million jobs to New Yorkers, which was a 4.1% decline over a five-year period, according to a report released Wednesday by state Comptroller Tom DiNapoli.

There were more than 33,536 nonprofit organizations in the state as of 2022, the report says, which comprised one-tenth of the organizations nationwide.

While the state provided the greatest number of nonprofit jobs in the state that year, the state saw a decline in nonprofits and nonprofit jobs between 2017 and 2022, losing 626 nonprofits between 2017-2019 and recovering 453 over the following three years, resulting in a net loss of 173 establishments through 2022. Over that same time, the number of nonprofits nationally increased.

Following the COVID-19 pandemic, employment at private sector establishments nationally had fully recovered by 2022, but nonprofits were still struggling. New York had the lowest nonprofit job recovery, regaining just 7.4% of the jobs lost and fewer jobs than in 2017, the comptroller’s report found.

“Nonprofits play an important role in our state and local economies and are an essential part of the fabric of the communities they serve, but their numbers are shrinking,” DiNapoli said in a statement. “Many nonprofits rely on government funding to support their services, and contract delays and slow payments have contributed to some of the challenges they face. Policymakers need to ensure state agencies process contracts and payments for nonprofits on time, so they can carry out the work on which so many New Yorkers rely.”

According to the report, almost 60% of the state’s nonprofits and most of their employment were in the downstate regions, with nearly half of all nonprofit jobs located in New York City. But nonprofits jobs are a higher share of private sector employment in upstate regions.