CUSTOMER AND CONSUMER RIGHTS: A ZIMBABWEAN PERSPECTIVE Presentation by MISs ROSEMARY Siyachitema Executive Director of the Consumer Council of Zimbabwe 6 JULY 2016 AT THE 2ND ANNUAL CUSTOMER SERVICE SYMPOSIUM

Background Zimbabwe lacks a definitive Consumer Protection Mechanism at law While it is regionally and universally* acknowledged that the consumer has rights... In Zimbabwe these are only upheld through a system of the ‘good will’ of the supplier or service provider. Further, For redress, the only consumer watch-dog in the country operates from a platform of ‘persuasion’, with the service providers not duty-bound to conform to the issues raised by the CCZ. As a result, most consumers are not aware of having consumer rights and those who are do not get any meaningful redress due to the absence of the legal framework underpinning the respect of their consumer rights.

THE EIGHT CONSUMER RIGHTS

UN GUIDELINES ON CONSUMER PROTECTION - DEFINITION The UN Guidelines for consumer protection is a declaration of best practices in consumer protection law and policy. The guidelines are not binding, but do provide a set of basic consumer protection objectives upon which governments have agreed, thereby serving as a policy framework for implementation at a national level. Whilst directed primarily at governments, some provisions of the Guidelines are also directed at businesses.

UN GUIDELINES HISTORY The earliest known statement of consumer rights at a political level was given on the 15th of March 1962, when President John F. Kennedy of the United States delivered a speech at a Congress in which he outlined four consumer rights: the right to safety, the right to be informed, the right to choose and the right to be heard. In 1981, the United Nations Economic and Social Council requested the Secretary- General to continue consultations on consumer protection with a view to elaborate a set of general guidelines for consumer protection, taking particularly into account the needs of the developing countries.

UN GUIDELINES HISTORY – Continued In 1983, draft guidelines for consumer protection were submitted to ECOSOC in response to its request. Following extensive discussions and negotiations the Guidelines were adopted by consensus resolution of the United Nations General Assembly on 9 April 1985. They have since been amended by the addition of a new section on sustainable consumption on July 1999. In July 2012, the United Nations Conference on Trade and Development initiated a process to amend and improve the UN Guidelines on the basis of considerable changes on the consumer market.

REVISION OF THE GUIDELINES The following sections were added to the UN Guidelines: 1. Access to knowledge and information 2. Internet and Telecommunications 3. E- Commerce and Digital Products

E- Commerce – Consumer Protection

KEY DRIVERS IN CONSUMER PROTECTION Product availability Accessibility Prices / value for money Product Safety Reliability Timely Delivery Confidentiality of personal / customer information Too much information in the market

THE AMENDMENT OF THE GUIDELINES WOULD ASSIST TO: Ensure that suppliers of digital content inform consumers of the effect of any applicable technical protection measures and information on interoperability with hardware and software. Stop suppliers from using technology to cripple digital products or unreasonably limit the ways in which consumers can use them. Require that the dissemination of consumer safety information as well as codes and standards that impact consumers, are free of copyright constraints. Prohibits IP rights from being enforces in ways that trample on consumer’s human rights.

BRIEF CONTEXT The hyper-inflationary era between 2005-09 refers. The default operational attitude was ‘the consumer should be grateful to be receiving a service, any service.’ Industries ignored their own internal mechanisms for dealing with consumers. The concept of consumer rights was equally ignored. Traits of this are still with us to this day.

Consumer and customer rights in this context are UNSUSTAINABLE. Customer and consumer rights in the absence of a Consumer protection mechanism. Consumer and customer rights in this context are UNSUSTAINABLE. Seemingly meaningful noises are made relating to treating the 'customer as king’ The amount of reports of market abuse are far out-numbered by events that are going unreported due to consumer ignorance and often industry complicity. And this points to the urgent need for the creation of a CPA

Customer and consumer rights in the absence of a Consumer protection mechanism. But consumer rights are broader and deeper than this. For starters, like all other rights, They need to be universalised, holding true everywhere and at all times under the same circumstances in the same jurisdiction. Presently such considerations as race, gender, location of business and income bracket inform service providers’ and suppliers’ attitude. In addition, the present environment has nurtured the entrenchment of dominant-to-quasi monopolies that have consistently robbed the consuming public of the right to choice and competitive services.

international best practice Regionally the SADC Declaration on Regional Competition and Consumer Policies and globally the UN Guidelines on Consumer Policies *recognise and enunciate the rights of the consumer. Further, the two bodies require signatory governments to accordingly enshrine them in the Constitution. Zimbabwe is a signatory. Already in the region, South Africa, Malawi and Zambia have enacted such definitive legislation, proving that it is possible to give consumer rights legal standing.

Customer and Consumer Rights The Consumer Protection Bill

CONSUMER PROTECTION

The rationale The consuming public has rights and those who provide them with services are.... Duty-bound/obliged to ensure that they are aware of these rights and uphold them Aware that any failure to do so will result in corrective and even punitive measures being taken Aware that these rights are constant and universal... The market cannot remain a jungle in which the consumer is consistently the prey of choice.

the consumer protection ACT The Consumer Protection Act is meant to: Be as comprehensive as possible to ensure that regulators, legislation and policy do not perennially play catch up. Create a platform wherein business practices operate from a standard in relation to consumer rights. Be alive to the emerging technologies and markets with the view of protecting the consumer. Encourage competition, while simultaneously discouraging market domination bordering on monopolies. Pay particular attention to the customer services sector, ensuring that the sector adheres to consumer friendly modes of operation.

the consumer protection ACT The Consumer Protection Act is also meant to: Ensure that the consumer is aware of his/her responsibilities. .. Mandate consumer education and this entails consumer education (e.g. by the CCZ, government departments such as health, ICT, banking e.t.c) Encourage the dissemination of information using various platforms such as the electronic and print media, leaflets and billboards as well as educational programs in schools.... e.t.c) Facilitate frameworks for regional and international cooperation in the area of consumer protection, particularly in this era of regional integration and globalisation. Ensure policies are in tandem with international trade obligations.

THE CONSUMER PROTECTION ACT The Consumer Protection Act will ensure expeditious and easily accessible redress for consumers by: Creating a National Consumer Commission to administer the Consumer Protection Act. Creating a National Consumer Forum to serve as the umbrella body of consumer bodies. Establishing a Consumer Ombuds-person to de-centralise and speedily settle disputes Giving the National Consumer Commission powers to act against offenders, through a Consumer Tribunal whose findings are legally binding.

IMPORTANT REFERENCES Universal Consumer Rights http://www.consumersinternational.org/who-we-are/consumer-rights UN Guidelines for Consumer Protection http://www.consumersinternational.org/media/33866/consumption_en.pdf SADC Declaration on Regional Cooperation on Competition and Consumer Policies http://www.sadc.int/files/4813/5292/8377/SADC_Declaration_on_Competition_and_Consumer_Policies.pdf

Conclusion Technology now dominates commerce and the CPA needs to appreciate this. The point is not to be defensive but accommodative. Equally technology-exploiting industries like contact centre/call centre need to operate in a spirit of good faith. Call centre/contact centre services industry needs to contribute to the drafting of the CPA by, but not limited to, proposing industry benchmarks to be incorporated in the relevant sections of the Act. The CPA will therefore serve to assist both industry players and consumers in transacting in such a spirit.

THE END THANK YOU TINOTENDA SIYABONGA