Vodafone shrugs off class action
The class action was first announced in late 2010 and was resurrected on Tuesday by a law firm representing customers dissatisfied with Vodafone's mobile or wireless broadband coverage.
Asked about the impact of the customer class action on Vodafone Hutchison Australia's reputation, Bill Morrow said it had "none at all".
"Most people see that there is not a class action suit actually filed or [any] attempt to actually gather one. The 23,000 [signatures] is the same number that they had reported back in 2011 ... I don't believe this is something that is going to turn into a class action suit and I don't think it is damaging to our brand," he said.
The comments come as Vodafone announced it would try to differentiate its customer service from other telcos by doubling the number of staff at its call centre in Tasmania. This comes a week after Telstra announced it was moving 648 jobs to call centres in the Philippines and India. According to the Community and Public Sector Union, senior Telstra management told staff at its Sensis subsidiary that "Australians will get better customer services from Manila or India. They have better technology and innovation."
Vodafone expects the 750 additional jobs to add about $45 million to the state's economy annually. It has received substantial funding from the federal government, including $4 million for recruitment, training and the accommodation of new staff. And the state government will kick in $850,000 for infrastructure costs and payroll tax concessions for new employees.
Mr Morrow said the message had come through "very clearly" that Australians want to talk to someone in Australia.
"The bottom line is that we have been listening to our customers."
Earlier this week, one of Vodafone Hutchison Australia's joint shareholders, Hutchison Telecommunications Australia, announced a full-year loss of $394 million, following a loss of $168 million in 2011.
Hutchison also revealed 443,000 customer accounts were lost in 2012. Vodafone now has about 6.6 million active accounts, down from a peak of 7.4 million in mid-2010. Mr Morrow said customer growth would be the first sign his turnaround plan is working, and he expects to see customer numbers increasing later this year.
Frequently Asked Questions about this Article…
Vodafone Hutchison Australia's CEO Bill Morrow said the customer class action has had "none at all" impact on the carrier's brand. He noted there is not a class action suit actually filed or any real attempt to gather one, and said most people see the 23,000 signatures as the same number reported in 2011.
According to Vodafone's CEO Bill Morrow, he doubts the case will ever get to court. He said he doesn't believe the petition or signatures will turn into a formal class action suit.
Vodafone is trying to differentiate its customer service by doubling staff at its Tasmanian call centre. The expansion is expected to create about 750 additional jobs, which Vodafone says will add roughly $45 million a year to the state's economy, and management says the move responds to customer feedback that Australians want to talk to someone in Australia.
Yes. Vodafone received substantial federal funding including $4 million for recruitment, training and accommodation of new staff. The Tasmanian state government also committed $850,000 for infrastructure costs and payroll tax concessions for the new employees.
Vodafone is expanding onshore by adding staff in Tasmania, while Telstra recently announced it was moving 648 jobs to call centres in the Philippines and India. The Community and Public Sector Union quoted senior Telstra management saying offshore centres can offer better technology and innovation, whereas Vodafone says customers want to speak to Australians.
Hutchison Telecommunications Australia, a joint shareholder in Vodafone Hutchison Australia, reported a full-year loss of $394 million, up from a loss of $168 million in 2011.
Hutchison revealed it lost 443,000 customer accounts in 2012. Vodafone now has about 6.6 million active accounts, down from a peak of 7.4 million in mid-2010.
Bill Morrow said customer growth will be the first sign his turnaround plan is working, and he expects to see customer numbers increasing later in the year.
Call 1300 880 160
Start a chat
Schedule a call
