An investigation has reportedly revealed widespread overcharging at major grocery chains in Canada, with stores selling underweighted meat and charging customers for packaging weight. This issue, which has persisted for years, is resurfacing as food prices remain a source of strain for many Canadians.
The investigation identified underweighted meat packages at stores owned by Loblaw Companies Ltd. (TSX: L), Sobeys Inc., and Walmart Inc. (NYSE: WMT). CBC News reporters visited seven major grocery stores in three provinces and discovered discrepancies at four locations, including two Loblaw stores, a Sobeys-owned FreshCo, and a Walmart.
In late 2024, CBC found underweighted chicken, pork, and ground beef at Loblaw-owned stores in Toronto and Calgary. The overcharges on six purchased items amounted to $5.14, or about five percent of the total bill.
Meanwhile, at a FreshCo in Toronto, underweighted meat products led to a calculated overcharge of $2.62 on a $38.08 bill. In Richmond, B.C., Walmart customers faced an overcharge of $3.07, approximately 6.9 percent of the $47.42 bill.
All stores appeared to have weighed the products with their packaging, a violation of federal regulations.
“We apologize for these errors”
In a separate case, Loblaw admitted to overcharging customers across 80 of its stores due to a packaging error. This issue, reported by Hecla Island resident Iris Griffin, involved ground beef labels overstating net weight by including the packaging. Griffin, who discovered the discrepancy in late 2023, said she was “angry” to find she had been charged for the weight of the plastic tray.
Loblaw acknowledged the error but did not disclose when it began or the total amount overcharged. Spokesperson Catherine Thomas assured customers the problem was fixed and emphasized that the issue affected only three percent of Loblaw’s 2,400 stores.
“We apologize for these errors,” Thomas said, adding that Loblaw has “refreshed our in-store training” to prevent future mistakes.
The Canadian Food Inspection Agency, tasked with enforcing food weight regulations, confirmed it was notified of the Loblaw issue in 2023 but did not conduct store inspections or issue fines. According to CFIA spokesperson Patrick Girard, the agency relies on inspections, surveillance, and consumer complaints to enforce compliance.
However, documents obtained by CBC show that fines are rarely issued, even in cases of repeat violations.
In the 2023–24 fiscal year, the CFIA conducted 125 planned inspections for weight accuracy across more than 8,000 grocery stores. Critics argue this level of oversight is insufficient.
“There’s no bite to the enforcement,” said Mark Olivier, a former grocery manager. “What’s the motivation for the store to do things properly if they’re more profitable when they err to the detriment of the consumer?”
Terri Lee, a retired CFIA inspector, confirmed that underweighted meat and seafood have been persistent issues throughout her 24-year career. She cited a lack of consistent monitoring by grocery stores and insufficient CFIA inspections as key factors.
“The cost of food has really increased,” Lee said. “It’s extremely important now to protect the consumer.”
Consumers like Griffin are urging others to remain vigilant. “People need to be angry,” she said, encouraging shoppers to weigh their purchases and report discrepancies to the CFIA. For those impacted, Loblaw has promised compensation, although details remain vague.
While Walmart and Sobeys both stated they are addressing the issue with third-party suppliers, they offered few specifics. Walmart’s Felicia Fefer said the company takes concerns “very seriously,” and Sobeys’ Tshani Jaja reaffirmed the company’s commitment to federal compliance.
Information for this story was found via CBC and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.