Tuesday, November 10, 2009
CI : November 2009 FOMCA
November 2009
The NCCC
The National Consumer Complaints Centre (NCCC) is a dedicated complaints handling service for consumers. It is an initiative by FOMCA and ERA Consumer Malaysia. Since September 2008, NCCC has been registered as an independent foundation under the Companies Commission of Malaysia, which has the same objectives.Getting started
FOMCA and affiliated Consumer Associations in Malaysia started the NCCC in response to the difficulty consumers faced in resolving issues or complaints with private and government service providers.
Before the NCCC
Before the NCCC, the consumer associations could act as a united voice to solve problems of members and the public. However, part-time volunteers provided all these activities.
As time went by, some of the consumer associations recruited full-time personnel to handle administrative work and to deal with complaints. As the public increasingly used the consumer associations to resolve their complaints, those managing the complaints found they needed qualified and experienced personnel for rapid handling of the increasing number of complaints.
This situation prompted FOMCA through the Selangor Consumer Association (SCA) and ERA Consumer Malaysia to launch NCCC as an operational unit under FOMCA in 2004.
Funding
Since 2005, the SCA has received funds from a project grant from the Ministry of Domestic Trade and Consumer Affairs (MDTCA) to partly fund the NCCC.
The remaining funds are raised from individuals and foundations through fund-raising activities.
Publicising the NCCC to consumers
Initially NCCC publicity was through the 'Buletin Pengguna', a monthly consumer newsletter of the MDTCA, published and distributed by FOMCA.
Business cardsThe NCCC was also promoted through business cards, given out at events by FOMCA and its affiliates.
Newspaper columns
In 2006, a regular column in the The Malay Mail both canvassed complaints and published success stories of cases that were solved by the NCCC. This showed consumers that the NCCC could be an effective tool.
Press releases and the media
Since 2007, NCCC continues to use newspapers, television and radio to reach out to consumers by providing an analysis of complaints and publicising current prominent consumer complaints. These stories get picked up and receive wide and extensive coverage by the local media. They are spread through regular press conferences and press releases.
Public discussion
In 2008, a weekly 1-hour radio talk show on Radio 24 in Malaysia allowed members from NCCC, FOMCA and ERA Consumer Malaysia to discuss specific consumer issues. Both the program and NCCC were promoted throughout the week with jingles.
Companies learn their responsibilities
Since 2004, an increasing number of companies are aware of the NCCC. Every interaction with companies and corporations is an education process - but it is the companies that are educated. They are becoming aware of the rights of consumers and their responsibilities as a company in complying with the relevant laws in place.
Consumers learn their rights
The NCCC is important in assisting ordinary consumers who are still unaware and less vocal in demanding their rights. Consumers dealing with the NCCC are made aware of their rights and the avenue available to them to resolve their complaints.
Many use NCCC to pursue their complaints with suppliers or service providers for them; but there are also consumers who request advice and guidance to pursue their cases on their own, and do so with success.
The most common complaints
The top three complaints received by the NCCC relate to:
- housing
- scams, and
- poor customer service.
A real case
Consumer M paid a deposit on a super-bike, hoping to be approved for a bank loan. But the loan was rejected, so Consumer M returned to the supplier for the deposit.
However, the supplier refused to repay the deposit and Consumer M gave up on getting his deposit back.
One year later, Consumer M heard about the NCCC and contacted them for help. The NCCC sent a letter to the supplier on Consumer M's behalf. Still the supplier refused, pointing out that the deposit receipt clearly stated that 'All deposits are not refundable', and that Consumer M was fully aware of this.
The NCCC wrote back promptly, quoting a paragraph in the Malaysian Consumer Protection Act 1999 that provides the right to consumers for a full refund of any deposit in the event of a cancellation of a contract.
The supplier immediately replied to Consumer M with a cheque for the full deposit.
The case shows that traders are often not fully aware of their legal responsibilities to consumers.
Dealing with businesses
Most service providers are initially slow or do not reply to the NCCC's letters and emails. The NCCC has to depend on carbon copies it sends to the heads of regulatory agencies to force replies or resolutions.
Even government agencies need pushing
In one such case, after failing to get any reply from a government regulatory agency, the NCCC carbon copied a follow-up email to the Chief Secretary to the Government. The reply was swift. The Chief Secretary 'replied to all' at 9pm the same evening with the simple message '???'. The very next day at 10am, the NCCC received the response they had been wanting from the regulatory agency.
Causing trouble pays off
As the NCCC continues to demand attention in this way, it has found that this encourages many organisations to provide a dedicated contact point to handle complaints from the NCCC.
Advice
Muhammad Sha'ani b. Abdullah, Chief Executive of the NCCC, offers advice to other organisations wishing to start a similar complaints centre. What are the challenges?
'Lack of resources is still a challenge, to provide a prompt and effective service to consumers in need.'
Why is setting up a complaints centre worthwhile?
'An increasing number of consumers are now willing to come forward to demand resolution to their complaints.'
'Meanwhile, an increasing number of traders are becoming aware of their responsibility to their customers with regard to good service provision as well as engaging with customers who complain.'
'There has also been positive support from the government in promoting the role of the NCCC among all the government agencies to educate front-line government personnel to be proactive in consumer complaints handling.'
Have you got any advice for other organisations who want to set up a similar complaints line?
'Complaints line services must empower consumers themselves and social advocacy groups to deal with ordinary complaints directly with service providers. This helps complaints services being overwhelmed with complaints.'
Read more...
- Visit the NCCC website (English and Bahasa Malay).
- Watch consumer education videos on the NCCC site.
CI Newletter - November 2009
Featured member highlight
This month’s Member in the spotlight features the Federation of Malaysian Consumers Associations (FOMCA). FOMCA is a national umbrella body founded in 1973, which serves as the coordinating, consultative and advisory agency of 13 consumer associations in Malaysia and works at the national and international levels. FOMCA goes beyond the traditional role of strengthening consumer protection in the marketplace through advocacy, lobbying, networking, representation, campaigning and education. FOMCA represents the consumer interest in policy making and policy implementation in various ministries and agencies such as the Ministry of Domestic Trade and Consumer Affairs, the Ministry of Health, Ministry of Finance, etc. It also advocates a social shift of values from value for money to ‘value for people’ and seeks to empower and educate responsible consumers in the context of a developing country with a growing consumerist society.
Medicines
Concerned about self-medication and consumer non-compliance with prescription advice and the adverse effects of drugs, FOMCA launched the 'Know-Your-Medicines' campaign in the 1980s. It launched the Patient's Charter in 1993 as an educational tool recognising the rights and responsibilities of consumers in the quality use of medicines. One of the key objectives in FOMCA's 2006-2008 project on the Rational Use of Medicines was to promote the quality use of medicines.
Consume less
Last year FOMCA launched a four-year awareness and education campaign called ‘3K’ on the theme 'Change Begins With Me' with the aim to help consumers change their lifestyle and produce more responsible and resilient consumers. Examples include changing to cheaper brands, eating in more than out, reducing luxuries, choosing cheaper hotels, recycling and using more public transportation. FOMCA declared July 16 a 'Buy Nothing Day' as a day for consumers to review and reflect their personal values, especially in relation to consumerism.
Junk Food Generation
As part of the aim to change consumers’ eating habits for more healthy options FOMCA published Cereal Deceptions, a report on the marketing of breakfast cereals to children in Malaysia. FOMCA has been very prominent in CI’s Junk Food Generation campaign to stop the marketing of unhealthy food to children up to 16 years old.
Energy Efficiency
In May this year, Fomca launched a consumer awareness campaign on energy efficiency through a switch website with an online tool that can calculate the costs versus energy efficiency of electrical items and compare claims made by manufacturers. Furthermore, FOMCA called on the Government to make energy efficiency labelling mandatory and introduce a tax incentive for energy-efficient products.
Read the feature
Labels: FOMCA, Marimuthu, NCCC
Thursday, October 29, 2009
FREE TRADE: A liberalised mart has its benefits
2009/10/30
DATUK PAUL SELVARAJ, Consumer Research and Resource Centre Kuala Lumpur
JUST last month, the minister dealing with consumer issues issued a strong statement that the Competition Policy or Fair Trade Policy would be tabled in Parliamentthat month.
He emphasised that the act would protect consumers against businesses that manipulated the prices of goods. To date, there has been no further news on the act.
Then, contradicting his earlier statement in support of competition and fair trade, the minister said last week that liberalising the sugar trade would cause problems for local sugar-based industries.
Well, the whole idea of liberalising the market is to allow more competitors to break the power of the holders of approved permits, who can and do manipulate prices.
The issue is not that more competitors would reduce supply; rather it is that the price of sugar is controlled.
In liberalising the market, the government should provide a safety net for the marginalised through food coupons or other forms of support; the rest of the consumers will have to learn to adapt to the market.
In the short term, prices may go up because of crop failure in some key sugar producing countries.
Currently, the government spends RM720 million on sugar subsidies.
After ensuring the poor get the support, the government will need to educate consumers to adapt to the market; that might simply mean consuming less sugar.
For the agricultural and food sector as a whole, the supply chain needs to be liberalised to prevent importers, wholesalers and other traders from colluding and manipulating prices to the detriment of other businessmen -- especially small businessmen who may otherwise be left out either because they simply lack the connections or because they are not part of the collusion -- as well as consumers. In the long term, a competitive market benefits society as a whole.
Then the minister said if petrol stations are allowed to charge prices below the ceiling price set by the government, there would be inflation. When there is competition and competition forces prices down; there is less, not more inflation.
The beneficiaries are the consumers. The ceiling price ensures, again through government subsidies, that prices do not go above the price fixed by the government.
In the long term, for a viable and sustainable economy, three significant factors are important.
Firstly, the market has to be liberalised at every level (imports, wholesale trade and retail trade) so that competition and not price-fixing is the primary vehicle for price determination.
Secondly, there should be a social safety net for the poor and marginalised so that they are not left out and society is able to sustain them through some form of food and basic support system.
Thirdly, consumers must learn to change their mindset and their lifestyle to reflect market realities.
The time when consumers expect the government to keep prices low through increasing subsidy schemes is over. They have to take personal responsibility over their lifestyle and consumer behaviour.
Finally, in enhancing consumer protection and consumer welfare in Malaysia, a minister more committed to consumer issues also helps.
Labels: CRRC, FOMCA, Paul Selvaraj
BUDGET 2010 : Budget's water, energy allocations need focus
Piarapakaran Subramaniam
Oct 29, 09
4:37pm
I refer to the Malaysiakini report PM slashes spending in Budget 2010.
The world community condemns the 'divide and rule' policy used by the colonial powers. However, our water and energy sectors are still being managed in such manner. Both sectors are managed by many parties with minimal integration except for meetings and seminars.
The Water and Energy Consumer Association of Malaysia (Wecam) sees both water and energy as basic needs of the people to survive and they eventually will becomes a national security issue.
On these consumer rights, we urge the federal and state governments to put their differences aside and protect the rakyat. We also urge that both the sectors are to be integrated and managed throughout their life cycles.
The water sector needs to ensure that water catchment areas are protected. State governments should gazette these areas as permanent reserves. There are also issues highlighted by the latest Auditor-General's report on the quality and pricing of water.
In addition to that, wastewater management is still below performance and underutilised. The country's water demand management is also of immediate concern as there are organisations that are pushing for alternative resources such as groundwater with many risky elements overlooked.
The energy sector is also not spared from lack of implementation while Malaysia is facing depleting energy resources. Furthermore, we are still on the learning curve for alternative energy. Energy efficiency - which is a core part of energy management - has not yet been achieved.
The government also made a 'quick policy' on nuclear energy as an option. Besides this, in a recent study conducted by the Economic Planning Unit (EPU), they omitted the transportation sector's energy usage. This again proves fragments implementation.
Overall, we did request a balancing fund to mitigate immediate energy resources price fluctuations. This is to ensure there is no immediate fluctuation of energy prices in all sectors to prevent burdening the consumers.
The new Green Technology sector will definitely be challenged to look at both these sectors as the improvement planned for them are placed in the recent National Green Technology Policy release.
Before the country steps forward to achieve Vision 2020, fundamental issues must be solved and we need to build both the energy and water sectors on solid foundation.
In many communications, meeting, seminars, reports and memorandums, we together with Fomca have raised many issues and solutions. We will continue to give constructive views with a technical background to push for changes and enhancement.
Working together does not make any of us less, it only builds us up further. We hope for a strong restructuring of both the water and energy sector to improve implementation efficiency. Merging is definitely an option.
The writer is secretary-general, Water and Energy Consumer Association of Malaysia.
Tuesday, October 27, 2009
NGOs: Govt need to be more open on procurement policies
Tuesday October 27, 2009
By IZWAN IDRIS and SHARIDAN M. ALI
PETALING JAYA: The Government needs to be more “open” on issues related to its procurement policy, urged two non-governmental organisations (NGOs).
“As it is now, there is more suspicion than trust in the system,” Federation of Malaysian Consumer Associations (Fomca) secretary-general Muhammad Shaani Abdullah said in a response to Starprobe’s articles published yesterday.
This, he said, was due to the lack of transparency on how most of the public contracts were awarded, as well as lack of publicly available information about the project status.
“The Government needs to do more in sharing information with the public,” Shaani said, adding that this could be achieved through the media and publishing such information on government websites.
The latest Auditor-General’s report and Starprobe findings published yesterday revealed that the Government could be losing billions of ringgit every year through excessive payments made for projects and procurements from private contractors.
Transparency International Malaysia (TI Malaysia) secretary-general Dr Loi Kheng Min said putting a proper procurement system would help curb corrupt practices, which had been long-associated with government contracts.
He said that the effectiveness of existing systems, like e-Perolehan and e-Tender should be enhanced, while perennial issues like non-compliance to procedures should be dealt with.
TI Malaysia, a globally-linked anti-graft independent body, has also come up with its own procurement guide called Integrity Pact.
Recent adopters of this Integrity Pact include Pos Malaysia Bhd.
Loi said the Integrity Pact programme was designed to prevent corruption, bribes and any other unethical practices.
Meanwhile, a government officer met by the Starprobe team at National Asset and Facility Management Convention 2009 yesterday said it was definitely a waste to lose billions of ringgit every year through excessive payments for contracts and procurements.
“I think the current Government will definitely do something to curb this problem.
“And the real cost of contract for any projects should be audited to avoid any ‘hidden’ charges with vested interests.
“Nobody in the right mind would let this happen and if unnecessary cost or expenditure is revealed, such as the acquisition of the over RM40,000 laptop, somebody should be held responsible,” said the officer, who declined to be named.
A businessman at the convention yesterday also lauded the effort to probe such issues as it involved taxpayers’ money.
“Although some contracts are through open tender, a background check on the company and unnecessary costs of the project is very important to avoid this kind of wastage.
“Maybe a third independent party should be roped in to do the audit,” he said.
Labels: FOMCA, Sha'ani, Shaani
Thursday, December 18, 2008
Sin Chew: 投訴中心年度報告‧屋業投訴仍居榜首
消費人投訴中心年度報告‧屋業投訴仍居榜首
2008-12-18 09:44 星洲日報‧2008.12.18
（吉隆坡）2007年全國消費人投訴中心（NCCC）報告指出，屋業發展商仍是最多消費者投訴的領域。
此中心去年共接獲2076宗有關屋業發展商的投訴，比2006年的1578宗增長29.6%，而投訴的內容包括房子內部手工品質低劣、遲交屋、發展計劃廢置及訂金問題。
此中心首席執行員莫哈末沙尼週三（12月17日）出席2007年全國消費人投訴中心報告推介禮後，發表談話。
莫哈末沙尼表示，政府或應實行先建後售的概念，購屋者只需先繳付10%屋價，因為現有的房屋發展制度導致有心人濫權，造成遲交屋、發展計劃廢置等問題。
直銷領域投訴第二多
接獲第二多投訴的是直銷領域，包括刮刮樂活動，因此，此中心建議當局把刮刮樂列為非法活動，並禁止以直銷方式售賣超過500令吉價值的商品。
私立高等教育中心及大專學院是第3多消費者投訴的領域；許多學生投訴院方在他們不知情的情況下向高等教育基金借貸，導致學生被高教基金追討欠款的問題。
全國消費人投訴中心將被投訴的商品及服務依性質分為23個領域，其他被消費者投訴的領域包括管理公司、電訊業、大減價、公共交通、金融機構、霸級市場、女傭中心、健身中心、食品等。
培養“視投訴為禮物”文化
政府首席秘書丹斯里莫哈末西迪表示，政府部門及相關機構應該培養“視投訴為禮物”的文化，因為所有的投訴都是協助當局改善與進步的機會。
他指出，美國有一些酒店會給做出投訴的顧客獎賞，因為他們認為，酒店單靠本身的員工是無法瞭解及察覺每一間客房是否有問題，但若顧客發現問題並投訴告知，等於是幫忙酒店進行監督工作。
“但在大馬，很多人被投訴就會生氣，這是不對的；我們確實沒有足夠的人手，有公眾幫我們指出問題，這就是一份禮物。”
平均每天接70宗投訴
大馬消費人聯合會主席拿督馬里慕都表示，2007年全國消費人投訴中心共接獲2萬4873宗投訴，即平均每天接獲70宗投訴，比2006年總數1萬8345宗投訴多，或增長36%。
他表示，全國消費人投訴中心把所有投訴做成報告發表，目的不是要指責任何人，而是希望借此讓各領域改善及提昇商品及服務素質。
Labels: FOMCA, KSN, Marimuthu, NCCC, Sha'ani
Sunday, April 08, 2007
Naik harga rokok RM10 -- FOMCA, Persatuan Pengguna Islam desak kerajaan kenakan cukai lebih tinggi
Mingguan Malaysia - 8hb April 2007
Muka Hadapan
Muka Hadapan
Oleh: NORILA DAUD
KUALA LUMPUR 7 April – Dua buah persatuan pengguna hari ini mendesak kerajaan mengenakan cukai jualan yang lebih tinggi supaya sekotak rokok 20 batang yang dijual di negara ini berharga sekurang-kurangnya RM10.
Mereka percaya tindakan menaikkan cukai jualan tersebut mampu menghalang syarikat-syarikat rokok multinasional daripada menurunkan harga rokok sesuka hati.
Setiausaha Agung Gabungan Persatuan-Persatuan Pengguna Malaysia (FOMCA), Muhammad Sha’ani Abdullah berkata, harga rokok yang tinggi berupaya mengurangkan tabiat merokok di kalangan rakyat Malaysia.
Beliau berkata, cukai jualan rokok yang rendah menyebabkan syarikat-syarikat rokok masih mampu menampung kenaikan cukai tersebut.
‘‘Untuk menambah jualan, mereka sanggup pula menurunkan harga rokok.
“Kami percaya syarikat-syarikat itu boleh dihalang daripada berbuat demikian jika kerajaan menaikkan cukai jualan rokok setinggi mungkin supaya sekotak rokok berisi 20 batang dijual pada harga RM10,’’ katanya kepada Mingguan Malaysia.
Muhammad Sha’ani berkata demikian ketika diminta mengulas kenyataan Menteri Kesihatan, Datuk Seri Dr. Chua Soi Lek yang memberi amaran kepada syarikat-syarikat rokok multinasional supaya menghentikan perang harga rokok sesama mereka dalam tempoh dua minggu.
Soi Lek menegaskan, kerajaan akan campur tangan mengawal harga rokok jika perang harga rokok itu tidak dihentikan. Beliau memberi contoh, ada rokok kini dijual serendah RM3 untuk kotak 20 batang.
Semalam, Soi Lek menemui wakil-wakil syarikat rokok multinasional JT International (JTI), British American Tobacco (BAT) serta Philip Morris di Melaka bagi menyatakan amaran kerajaan itu.
Menurut Muhammad Sha’ani, sekiranya syarikat-syarikat rokok mampu mengurangkan harga rokok, ia bermakna kenaikan cukai pada kadar 50 sen sehingga RM1 sekotak masih boleh ditampung oleh syarikat-syarikat berkenaan.
Harga rokok, kata beliau, sepatutnya dinaikkan pada kadar yang benar-benar memberi kesan kepada perokok.
“Hanya jika perokok benar-benar terbeban baru mereka terpaksa meninggalkan terus tabiat merokok dan ini kelak akan mengurangkan jumlah orang yang menghisap rokok,” kata Muhammad Sha’ani.
FOMCA berpendapat tindakan syarikat-syarikat rokok menurunkan harga rokok akan menghalang usaha kerajaan khususnya Kementerian Kesihatan untuk mengurangkan jumlah perokok di negara ini dan seterusnya membanteras kes-kes penyakit berkaitan rokok di kalangan rakyat.
Pengarah Projek Persatuan Pengguna Islam Malaysia (PPIM), Noor Nirwandy Mat Noordin pula menyifatkan tindakan syarikat-syarikat rokok multinasional menurunkan harga rokok sebagai keterlaluan dan mencabar kerajaan.
‘‘Mereka kena patuh kepada polisi kerajaan untuk mengurangkan jumlah perokok dan bukan menurunkan harga rokok bagi menambah jualan,’’ katanya.
Noor Nirwandy menyatakan sokongan terhadap arahan Kementerian Kesihatan agar syarikat-syarikat rokok multinasional menghentikan perang harga rokok dalam tempoh dua minggu.
Katanya, kerajaan juga harus menggariskan peraturan yang lebih jelas kepada syarikat pengeluar rokok agar perkara yang sama tidak berulang lagi pada masa akan datang.
Sementara itu, firma pengimport rokok Bracco Resources Sdn. Bhd. berpendapat, syarikat-syarikat rokok tiada asas kukuh untuk menurunkan harga rokok melainkan untuk memancing pelanggan membeli rokok keluaran mereka.
Pengurus Besar syarikat itu, Buhari Mohamed berkata: ‘‘Tiada asas untuk harga rokok diturunkan kerana kadar cukai sudah ditetapkan melainkan pengeluar membeli harga tembakau pada kadar yang murah atau memperolehnya secara percuma.’’
Pengguna hari ini, kata Buhari, amat berhati-hati dalam berbelanja dan kerana itu sekotak rokok berharga RM7 kurang mendapat sambutan.
