26 September 2023

Telcos challenged to improve their services

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The telecommunications industry has continued to let down customers experiencing financial hardship, according to a report from the Australian Communications and Media Authority (ACMA).

Chair of ACMA, Nerida O’Loughlin said tits report Financial hardship in the telco sector found that in the past 12 months almost 2.4 million Australians experienced difficulty paying or had concerns with their telco bills.

Ms O’Loughlin said it found only 57 per cent of Australians, and 64 per cent of those who experienced financial difficulty in the past 12 months, were aware they could contact their telco for help managing bills.

She said the research showed telcos still had some way to go to meet the reasonable expectations of consumers facing financial hardship.

“With the current cost of living pressures, telcos need to be even more attuned to the needs of customers who may be doing it hard,” Ms O’Loughlin said.

“This report identifies areas where we expect the telco industry to lift its game,” she said.

“Telecommunications is an essential service.

“Being connected and having access to a reliable and affordable phone and internet service has become crucial for many people to work and connect to education, health and government services.”

Ms O’Loughlin said the report identified a range of issues affecting telco consumers facing difficult financial circumstances, including that younger Australians were less likely to be aware that financial hardship assistance was available from telcos, with only 50 per cent of those aged 18-34 aware they could ask their telco for help.

She said consumers who reported financial difficulties or concerns with their telco bills reported it was rare for telcos to initiate contact, especially human contact, in relation to potential financial hardship.

“Telco providers were generally seen as being less well-equipped and with fewer assistance options than water and electricity providers,” Ms O’Loughlin said.

“Telco providers were all seen as less flexible when dealing with customers in financial hardship than other service providers,” she said.

“Direct debit payments could become problematic at times of financial difficulty, adding to stress and incurring extra fees.”

ACMA’s 42-page report can be accessed at this PS News link.

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