Telcos resisting customer service reforms

Note the arrogance highlighted in red

PHONE companies are resisting major restructuring saying changes will be too costly to implement and that a new voluntary code will be more effective in addressing consumer concerns.

In submissions to Australian Communications and Media Authority's Reconnecting the Customer inquiry - published yesterday - the peak industry body, Communications Alliance, said it supported the ACMA draft report but that the industry's revised Telecommunications Consumer Protections (TCP) Code would address the major issues raised in the report.

Key points the ACMA's draft report said must be addressed were: clarity in pricing, advertising and comparison between providers; improved complaints management; tools for users to monitor phone usage; and amendments to the Telecommunications Industry Ombudsman Scheme.

The Communications Alliance submission said many of the concerns raised by the ACMA in its Draft Report had been addressed by the revised draft TCP Code.

The draft TCP Code has yet to be released, and no spokesperson from the Communications Alliance was available to comment.

Providing more information about telephone pricing and plans would only confuse consumers, the submission said.

Teresa Corbin, the chief executive of the Australian Communications Consumer Action Network, said the industry was in denial about the threat of further regulation. "I think they're not facing up to the reality that they have to make some serious changes, and I think they're hopeful that by testing the waters they'll find that they can get away with just tinkering but they haven't really woken up to the fact that they need to make some radical changes. "

Clare O'Reilly, the project director of the ACMA inquiry, said there was a resistance to change. "Industry's view is that to try to explain pricing in a more simpler way is just not feasible.

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