Alleged sales practices wouldn’t be ‘tolerated’ elsewhere: CRTC chairman

GATINEAU— CRTC Chairman Ian Scott opened public hearings on aggressive and misleading telecom sales practices by saying the commission is "concerned" by the information it’s collected from consumers, even before hearing witness testimony. He said the results of public opinion polling research conducted by Ipsos Public Affairs for the CRTC and released just ahead of the hearings, along with retail practices described in hearing submissions, suggest Canadian telecom companies aren’t looking out for consumers’ best interests. "When one in four Canadians have reported experiencing aggressive or misleading sales practices within the last year, it would appear that consumers’ interests may not be being respected," he said. "Some of the retail sales practices that have been reported on the public record of this hearing, if substantiated, would not be tolerated in other industries." Monday was day-one of week-long public hearing into aggressive and misleading sales practices by telecommunications providers, which the Liberal government ordered the CRTC to investigate with public hearings back in June. Scott made the comparison of a driver pulling into a gas station, filling up their tank and then when they go in to pay only find out the price per litre is higher than what they were told at the pump – which is no longer on offer. "That would be unacceptable to consumers," he said. "If, at the end of this proceeding, the record were to show that the misleading and aggressive practices are common, it would be a serious concern for us." The CRTC chairman wasn’t the only major player to fire a warning shot of sorts Monday. Innovation Minister Navdeep Bains issued a statement Monday that said the Liberal government is "very concerned by allegations of inappropriate sales practices by telecom carriers." Bains also told reporters on Parliament Hill Monday while the review is still in the early stages and he didn’t want to comment on possible remedies, one possibility is a new code of conduct for wireless, internet and cable sales as a means to “protect consumers.” Bains said he hadn’t listened to the hearings but has been talking with Canadians for “several months” about the issue. “I’ve heard directly from the most vulnerable Canadians, particularly seniors that have had these issues around high-pressure sales tactics,” he said. “Clearly this is a concern, this is why our government took action and this is why I demanded the CRTC conduct an inquiry." All eight CRTC commissioners are part of the hearing panel and appeared for the Monday hearing. It's an unusual move Scott said the regulator took because of the “importance of this issue.” The commission heard a range of complaints on its first day, from a handful of consumers who appeared in person or through video-conferencing on issues spanning from accessibility issues for deaf customers to rural access, to billing nightmares and confusion and frustrating experiences dealing with sales reps. Toronto resident Shawn Ahmed appeared by video and told the commission he was able to take Rogers Communications Inc. to the Commission for Complaints for Telecom-television Services (CCTS) over his internet plan after the price changed a few months after signing his contract. But he said his parents pay more than he does simply because they didn't fight it at the CCTS. When a CRTC commissioner asked what his experience was like with the CCTS, he said it was “not at all” efficient or effective and that the organization was "trying their best to pass the buck." Peter Derek Hughes, who is brother-in-law to CRTC secretary general Claude Doucet, complained that on two separate occasions in 2010 and 2014 he was overcharged and plagued by billing errors, and subjected to a lengthy complaint-resolution process. Another witness, Laura Lazo, told the CRTC she has been a long-time MTS customer, but detailed a frustrating experience she had with BCE Inc.’s Bell MTS, alleging she was billed for things she never asked for or used, like TV, and that her plan was at one point changed without her authorization. Complaints related to sales practices Monday also poured in on Twitter, after the regulator encouraged the public to participate online in the hearings through by using the hashtag #CRTCforum. Many tweets unloaded a litany of complaints against providers. #CRTCforum Mother-in-law wants new smartphone for browsing & calls. Young Bell salesman at store in mall pushes expensive phone with LOTS of features & 100min free 4 calls & no data. First bill she went over 100min. We tried to help change plan to the one she wanted. Bell refused — Brian Beaton (@Beaton_b) October 22, 2018 #CRTCforum Once was refused refund of overpayment to Rogers when payment taken after cancellation. Lady said yes service was cancelled but no admin note was placed on my file to stop taking payments so they just took it. Never got it back. Illegal? — John Chaffey (@JohnChaffey) October 22, 2018 #CRTCforum I have had aggressive folks trying to tell me I need a Bell Landline, constant mail from Rogers telling me I need their services. I need neither, I like my Comwave and that is not about to change — Dave Palladini (@Palladini921) October 22, 2018 Should have to hold to a level of quality in the metroplitan areas. I live close to the centre of Calgary, but it's unfortunetly a dead zone, so I can't really get/make calls on my cell at home, but paid ~$100 for service. When I called, was just told to use WiFi. #CRTCforum — Minty Aftertaste (@KevinKiejko) October 22, 2018 The week of hearings will end with testimony from the major telecom providers, with Quebecor Inc., Telus Corp. appearing Thursday and BCE Inc., Rogers Communications Inc. and Shaw Communications Inc. appearing on the final day to defend their sales practices. Monday, Rogers senior vice-president of customer care Eric Agius said in a statement provided by email that the company is after long-term relationships with customers and that the concerns raised during the hearing “do not reflect our commitment to our customers or our values as an organization,” and that after hearing about a mistake or “instance” from a customer, the company will “make it right.” In their CRTC submissions, the big telecom companies argue their sales practices are fair, and that any reported consumer problems likely stem from miscommunications in a large and complex industry. They reported only a tiny proportion of their interactions with customers have been complaints about sales practices. Bell said less than 0.05 per cent of customer calls over a year were related to sales practices, while Rogers said only 0.004 per cent of customer interactions last year were about sales practices. Commission for Complaints for Telecom-television Services (CCTS) officials, an independent industry complaints body whose mandate could be affected by the hearings, did not take an official position on the creation of new rules or modifying old ones. They did, however, say putting minimum standards of behaviour in codes of conduct could be one way to improve oversight. “Currently, we have an asymmetry among various codes of conduct that we have for wireless and TV services and none for internet services,” CCTS commissioner Howard Maker told media in a scrum Monday. “Simplifying and unifying are not bad things.” — With reporting by Kyle Duggan at kduggan@thewirereport.ca and editing by Anja Karadeglija at akarad@thewirereport.ca

Alleged sales practices wouldn’t be ‘tolerated’ elsewhere: CRTC chairman

Broadcast | October 22, 2018

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Alleged sales practices wouldn’t be ‘tolerated’ elsewhere: CRTC chairman

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