CRTC investigating 'possible misleading' telco sales practices after first rejecting the idea - Action News
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CRTC investigating 'possible misleading' telco sales practices after first rejecting the idea

The CRTC has launched a public inquiry into "possible misleading or aggressive" sales practices used by telecom companies, a move the regulator flatly refused to make just six months ago.

A public hearing will begin Oct. 22

The CRTC is inviting Canadians to go online to share their personal experiences involving questionable sales tactics used by telecom companies. (iStock)

The CRTC has launched a public inquiry into "possible misleading or aggressive" sales practices used bytelecom companies, a movethe regulator flatly refused to make just six months ago.

"It was definitely discouraging when the CRTC rejected it the first time around," said Laura Tribe, executive director of consumer advocacy group Open Media.

"It is also encouraging to see that they're taking this opportunity to get it right."

Monday's announcement included an invitation forCanadians to go online to sharetheir personal experiences involving questionable telcosales tactics. The CRTC also plans to conduct a public opinion survey and focus groups on the issue, as well ashold a public hearinginGatineau, Que., starting on Oct. 22.

'We were shocked'

In January, multiple consumer groups called on the CRTC to hold a public inquiry followingseveral reports by CBC'sGo Public team about high-pressure tacticsused by telcoemployees selling TV, internet and wireless services.

Since the reportsbegan in November, hundreds ofcustomers have contacted Go Public to complain about being charged higher rates than whatthey originally negotiated over the phone, or not receiving what a sales agent promised.

In one case, Shaelene McInnis of Oshawa, Ont., complained that Bell was charging her aging in-laws for internet service, unbeknownst to them. In another,Bert Reket of Owen Sound, Ont., said he wound up locked into a two-year contractwith Rogers that he never wanted.

More than 200 current and former telcoemployees mostly at Bell and Rogers have also reached out to Go Public, describing what they say is intense pressure to mislead and lie to customers in order to hit unrealistic sales targets.

"We were shocked," said Ken Whitehurst,executive director of the Consumers Council of Canada. "Employees are even coming out, saying they're uncomfortable with what they're being asked to do."

Ken Whitehurst, poses in front of a yellow wall with plants to his left.
Ken Whitehurst of the Consumers Council of Canada says he was shocked when he heard about the claims of misleading and aggressive sales practices used by telcos. (Gary Morton/CBC)

In February, the CRTC announced there was no need for a public inquiry because there are already "a variety of options available" for unhappy customers. Theseincludecomplaining to the Competition Bureau, which investigates deceptive marketing practices.

But the CRTC changed its tune after the federal government weighed inbackin June, ordering the telecom regulator to conduct and complete an inquiry by February2019.

"Like many Canadians, we are concerned by allegations of clearly inappropriate sales practices by telecom carriers," Economic Development Minister Navdeep Bainssaidin a statement at the time.

Will it do any good?

Susan Eckersley of Whitby, Ont., says she recently discovered her home phone, internetand television provider had locked her into a two-year contract without asking. She's pleased the CRTC has launched the inquiry, but questions if it will do any good.

"How on earth are you going to police something like that?" she said. "I don't think they can totally enforce it, and certainly can't monitor it."

Laura Tribe, executive director of consumer advocacy group Open Media, says it's encouraging to see the CRTC launch an inquiry. (CBC )

Open Media's Laura Tribe says she, too, has concerns about whether the inquiry will result in any substantialchange. But she believes it's a good first step that will help put the issue of aggressive sales tactics in the spotlight.

"If nothing else, this helps get more evidence on the record and make very clear exactly what's happening."

CBC News reached out to the major telcos for their response to the inquiry announcement.

"We work to deliver the best possible experience for our customers," Rogers spokespersonMichelle Kelly said. "We will share how we strive to be clear, simple and fair with our customers."

Bell spokesperson Marc Choma said the company's success "is built on delivering the best customer experience, so we look forward to these discussions."

Telus and Shaw didn't respond, but back in Januaryboth said they would be open to participating in a public inquiry.