‘Unacceptable and completely out of step with our company values’: Optus CEO responds to ACCC lawsuit
The interim CEO of Optus has responded to the ACCC’s decision to take action over what he deems “inappropriate retail sales practices, including involving vulnerable customers.”
The ACCC announced on Thursday morning is has commenced Federal Court proceedings against Optus, alleging the telco engaged in “unconscionable conduct” by selling goods and services to hundreds of consumers “that they often did not want or need, and in some cases then pursuing consumers for debts resulting from these sales”.
The watchdog further alleges a number of these consumers were “experiencing vulnerability and/or disadvantage, such as living with a mental disability, diminished cognitive capacity or learning difficulties, being financially dependent or unemployed, or having limited financial and legal literacy,” and many of the impacted consumers were First Nations Australians from regional and remote areas or people from culturally and linguistically diverse backgrounds.
Optus interim CEO Michael Venter today apologised to “all customers affected by this misconduct and for the distress caused,” adding “we deeply regret that in these instances we failed to meet the customer service standards that our customers deserve and should expect.”
Venter continued: “The misconduct alleged by the ACCC is unacceptable, and completely out of step with our company values and we accept that we need to protect all customers, including those experiencing vulnerability, from this type of behaviour.”
Venter said the majority of the sales occurred at three licensee-operated Optus stores.
“We are remediating affected customers including by providing refunds, waiving outstanding debts and enabling them to keep devices. We regret that we did not remediate more quickly in some of these cases.
“Optus does not tolerate employee behaviour which takes advantage of customers. We have taken disciplinary action (including terminations) against staff whom we determined were responsible for this misconduct involving vulnerable customers.
“Over the last three years we have undertaken a major review of how we manage sales, especially to vulnerable customers, bringing in new sales systems that give us more oversight, as well as extra, compulsory training programs and enhancements to our IT systems, to help prevent misconduct in sales to vulnerable customers from happening.”
As part of the review, Venter said Optus has “significantly stepped up our vulnerable customer support through new initiatives, training and programs”, which include a customer advocacy program to improve management of customers facing vulnerability, the establishment of a dedicated specialist care team, the development of a new Optus vulnerable customer policy, new robust governance and quality assurance programs, changes to credit controls and bad debt monitoring, and additional and improved mandatory training for all Optus customer-facing staff on appropriate support of vulnerable customers.
“Optus understands the vital role we play in ensuring vulnerable customers stay connected and we continue to work with external consumer bodies to develop programs to support customers in a position of vulnerability,” he said.
“We have cooperated with the ACCC in this investigation to date, will continue to do so and are committed to continuing to improve our processes in relation to customers experiencing vulnerability.”
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