Charity donations dry up as demand surges

Charities across the country are seeing a drop in cash contributions, and food banks are receiving fewer donations because of the recession.

As more people lose their jobs, fewer donations of money and second-hand items are coming in. The problem is compounded by increasing numbers of out-of-work people relying on charities.

"People who used to be donors are now using our services and coming to us for help," says Andrew Burditt, territorial director with the Salvation Army. "It seems donating to charities has become a second priority for most Canadians."

Salvation Army branches in British Columbia and Alberta are seeing an increase in the number of people using their food banks, but fewer personal belongings are being donated to thrift stores and shelters, he said.

One of the charity's main national fundraising drives the Red Shield campaign, held every May saw an 8.5 per cent drop in donations over 2008. Nearly $2.5 million was collected, but that was half a million dollars short of the $3 million goal. The steepest drop-off was in Alberta.

The United Way of Canada managed to break donation records in 2007 and 2008, but is worried about the future.

"Our organization anticipates a tough year ahead both in allocating resources and in meeting the increasing needs and challenges of funded agencies" says spokeswoman Emilie Potvin.

The recession has also shrunk the size of donations.

Since January, the average amount of an individual donation has dropped to $120 from $150, says Owen Charters, director of Canada Helps, an online portal for giving that directs money to 84,000 different charities.

"This is the time to give," he says. "Those who have should balance it out for those who are suffering."

Food banks feel the pinch

Food Banks Canada reported a 20 per cent increase in the number of users between January and March. Food banks were already helping 700,000 in an average month, according to the organization's figures.

"That's a significant jump and it is very concerning in a year period," says Katharine Schmidt, Food Banks Canada's executive director.

"Food donations have been falling significantly since January."

A 7.3 per cent hike in food prices, compared with last year, is one of the main factors, she says.

In the Prairie provinces, food banks are trying to feed more people with fewer resources. "We have seen a dramatic increase in the number of people turning to our food services," says Marjorie Bencz, Edmonton Food Bank's executive director.

At a local food bank in Red Deer, Alta., midway between Edmonton and Calgary, director Fred Scaife worries each day about having enough food hampers to distribute.

"We are feeding 175 per cent more adults and 65 per cent more children compared with last year," he says. "We have lineups every day now. We even have to do some building renovations to accommodate this increase."

"People just don't have jobs, they are lost. We desperately need money, food and volunteers."