Loblaw bread gift cards become 'bonus' donations for some food banks

What started out as a price-fixing scandal is providing some much needed relief for food banks in some Maritime communities, at a time of year when food bank operators say donations are slim.

Loblaws started mailing $25 gift cards one month ago to people who registered. The company is offering the money as compensation after admitting to being involved in a price-fixing scheme for bread for more than a decade.

After the announcement of the program, some people on social media started campaigns, encouraging those who could to donate their $25 to the local food bank.

In Nova Scotia, that drive appears to have worked.

Feed Nova Scotia, an organization that supports food banks and shelters across the province, says it has received 165 cards so far, worth $4,125.

"We're hoping that it's not over yet," said Karen Theriault, director of development and communications. "I know some people have still not received their cards in the mail."

She says in some cases, the cards are coming from first-time donors.

Feed Nova Scotia will wait to see if any more cards arrive before deciding on how the money will be spent. Theriault says the timing couldn't be better.

"It is very common for people to think about those who are struggling in the pre-Christmas season, but spring is actually one of the biggest peaks that we see for when people are looking for food assistance. So getting this kind of donation now is key."

No donations in Montague, P.E.I.

While gift cards are arriving in Nova Scotia, the food bank in Montague, P.E.I. hasn't received any.

Vivian Dourte, the food bank's secretary-treasurer, believes the need in the town is so great, that those who did receive cards simply couldn't afford to donate them.

"In a way, I am surprised," she said. "But I'm not sure how many people applied for it."

On average, the organization feeds 189 families. She thinks even more people need the service, but they're nervous to use the food bank in a small community where they may be recognized.

Dourte says for the Montague Food Bank, spring is as busy as Christmas.

"There's a lot of seasonal workers here, we have a lot of people who work at say the fish plants for instance and fishing season doesn't start until May. But with [employment insurance] changes, that kind of stuff, their E.I. is running out, so they come here," she said.

"I had a guy here today and it was his last cheque."

Issues with program

While some people are celebrating the cards, they have come with their share of controversy. 

In some cases, the company is asking people to send proof of identification before their cards are sent. That request has resulted in Canada's privacy commissioner investigating the grocer. 

The Greater Vancouver Food Bank, which has received dozens of cards, would prefer if people to donate the equivalent cash instead.

That way, staff don't have to take the extra step to activate them, and the food bank will be able to buy food from industry partners, instead of being limited to shopping at the chain.

There's an extra bonus to that option as donors will be able to benefit by receiving a tax receipt. 

'Bonus' donations

Meanwhile, in New Brunswick, the food banks in Fredericton and Saint John say they were thrilled that donations came their way.

"It's unexpected," said Alex Boyd of the Fredericton Food Bank at Greener Village. He says they've received 15 cards worth $375, which he says is likely a bonus on top of regular donations at this time of year.

The Community Food Basket in Saint John has benefited from $175 worth of bread card money.

"It's extra special because I didn't have any expectation to receive any," said executive director David McCready.

He says that money will go a long way toward buying needed items that people might not think to donate.

"We need canned fruit, we need sugar, we need cereal. But that can change in a month."