NDP demands cell phone cost crackdown

Fri 18 Jan 2008

VANCOUVER – NDP Leader Jack Layton highlighted the growing problem of out-of-control cell phone bills today in Vancouver and called on the Conservative government to stand up for Canadian consumers.

“Canada’s wireless industry is an oligopoly and consumers are forced to pay what the big companies say they should, whether it’s the big bills, the unnecessary system access fees or for long-term contracts they were forced to adhere to in the first place,” said Layton.

Canada’s 19.3 million wireless phone subscribers are paying more than subscribers in the United States or Europe. The NDP leader cited statistics from The SeaBoard Group – a leading analyst of Canadian information technology and telecommunications sectors – that show that average users pay a third more for their service than American consumers.

“I’m calling for fairness for wireless phone users who are being over-charged by an unfair system,” said Layton. “The Harper Government isn’t protecting wireless phone subscribers from over-charging, unfair fees, and long-term contracts that help providers enjoy big profits, but don’t help the consumer.”

Layton pointed out a few such unfair fees including ‘System Access fees’, 9-1-1 fees and fees charged to subscribers for activity beyond their control such as incoming calls and wrong numbers.

“The NDP wants better protection of the consumer with better oversight of the telecommunication sector,” said Layton. “The CRTC and the competition bureau must be granted the teeth they need to go after companies that gouge consumers.”