On May 9th,
on behalf of the Liberal Opposition, I was proud to table a private
Member’s bill that would have protected consumers from unfair cell phone
billing practices in New Brunswick.
I
was shocked and saddened when the Alward government rejected the bill
last week. Tory MLA’s stated that they would not support the bill
because there were no regulations tied to it. Instead of making a simple
amendment, this government chose to reject a bill that was in the best
interest of all New Brunswickers.
I want to explain to you what this bill was about and perhaps you’ll wonder like I do why it was rejected.
The
Phone Contracts Act would have provided better protection to cell phone
owners via new regulations for wireless companies. Similar legislation
has been introduced in Quebec, Ontario and Manitoba to help prevent cell
phone bill shock.
The
key issue at stake with this piece of legislation was transparency.
Consumers often expect to pay one amount for wireless services and
receive a bill that is double or triple the expected amount. Truth in
advertising is paramount – people need to clearly understand what
they’re signing up for when they enter a wireless contract. Currently,
this is not the case.
Cell
phone contracts in their current form are difficult for many people to
understand. Because of this, consumers too often experience sticker
shock when they are charged for services they did not agree to or did
not know would result in added costs.
The
New Brunswick Cell Phones Contracts Act would have ensured contracts
were written in plain language and that services included in the basic
fees were itemized. Bills would also have had to clearly state services
rendered that would result in higher costs. This legislation would have
required wireless service providers to include clear disclosure of key
terms, making them more understandable to consumers.
Another
concern this bill addressed was the often exorbitant costs of
cancelling a wireless contract – sometimes upwards of $600. This bill
would have capped cancellation fees at $50. Furthermore, the legislation
would have disallowed wireless companies from automatically renewing a
contract or locking them in to begin with without proper and clear
disclosure.
More
than 80 per cent of wireless service agreements are post-paid, which
means people are billed after they sign agreements and use the services.
When the first bill is received, consumers tend to feel helpless since
they have just signed a contract that could last up to three years. If
the bill isn’t what they expect – and it usually isn’t – this
legislation could have provided the protection they need.
This
bill also sought to regulate wireless advertising, and introduced
requirements for record keeping. It would have provided protection
against the unilateral amendment of a cell phone contract by a supplier
and mandated that customers be provided with specific details on the
terms of the contract, including minimum monthly charges, penalties,
interest, and so on. It looked at several small issues as well,
including a requirement that companies disclose whether a cell phone is
new or refurbished.
New
Brunswick families work hard for their money and cell phone bills are a
universal source of frustration. Any family or individual using a cell
phone would have benefited from legislation that ensured clear and
easy-to-understand language in cell phone contracts. This legislation
would have put the onus on businesses – instead of families – to make
sure consumers know what services they are paying for.
This
was a good bill – one we had hoped the Progressive Conservative
government would move on. Unfortunately, this government has put
politics first when it comes to Opposition bills in the legislature and
this was no exception.
This
private member’s bill was one that should have had no downside for the
Tories. It’s a bill that would have protected New Brunswick consumers –
something that should be the aim of all governments. This is no time to
play politics, yet that is what they have done.
This
bill was good for all New Brunswickers – all except for former Premier
Bernard Lord and the telecommunications giant he works for. The Tory
rejection of this bill has exemplified a simple truth: that this
government is more interested in protecting its friends than everyday
New Brunswickers. And that simply is not right.
With
this legislation, the price shock that consumers face when opening up
their cell phone bills would have become a thing of the past. We saw no
downside to this legislation and believed it was something both sides of
government could work on together.
I
am disappointed that this government has rejected a bill that protects
New Brunswickers from unfair cell phone billing practices. If you live
in a riding with a Tory MLA, I encourage you to ask them why they have
rejected this bill. Ask them why they didn’t opt for an amendment and
instead chose to reject it outright. Rejecting this bill was a blow to
New Brunswickers and we all deserve answers on this regrettable decision
by the Tories.
Chris
Collins is the Official Opposition’s critic for Post-Secondary,
Education, Training and Labour and is the Liberal MLA for Moncton East.
