Complaints about Australian telecom services increased by more than half this year, despite a government campaign to keep them in check.
Total complaints lodged to Australia's Telecommunications Industry Ombudsman (TIO) grew 54% to 230,065 during the year ending in June, prompting a warning of new legislation from the communications minister.
The TIO said disputes over customer service and complaint handling nearly doubled over the year.
More than 90% of these complaints were resolved with a referral back to the service provider, highlighting the need for improved complaints handling processes.
Complaints about mobile phone services increased 79%, while complaints about internet and landline services increased 57% and 40% respectively.
“The increases reflect the greater take-up of broadband internet services and a greater variety of services offered through mobile phones used by Australian consumers,” Ombudsman Deirdre O'Donnell said.
She said the TIO's connect.resolve program, launched with government backing after a spike in complaints last year, did not decrease the level of complaints in its six months but had more success in the current financial year.
Communications minister Stephen Conroy told local media the government will consider introducing new regulatory reforms if consumer complaints continue to rise.
“This report is an absolute shocker,” he said. “What we need to do is put pressure directly onto the telecommunications companies.”
A telecom consumer lobby group, ACCAN, called on Conroy to introduce financial penalties to help curb complaints.
Consumers who have been forced to use the TIO to resolve basic disputes should be eligible for A$50 ($46) in financial compensation, ACCAN said.
“This payment would be an incentive for telcos to get it right in the first instance and recognizes the real costs of giving customers the run-around,” ACCAN CEO Allan Asher said.