TELECOM Eireann will pay compensation to customers if it fails to meet the service guarantees in its new customer charter, which comes into force today.
The charter, under which Telecom will give credits of up to £20 if service standards are not met, is part of the semi state's strategy in preparing for competition and follows the example of many major telephone companies.
If Telecom performs in line with last year, it could cost it up to £420,000. The charter, announced yesterday by Telecom Eireann's chief executive, Mr Alfie Kane, comes two weeks after the company announced a series of price reductions worth an estimated £65 million. "The charter is a clear statement to customers that they are the ones who come first," according to Mr Kane.
If Telecom Eireann fails to connect a new telephone within 15 working days, £20 will be deducted from the customer's next bill. It has also given an undertaking to repair faults within two working days or give a £10 credit. The credits will not be paid if delays are "due to circumstances beyond the reasonable control of Telecom Eireann".
Last year Telecom connected 160,000 new telephone lines, a record for the company, which claims that over 70 per cent of lines are installed within five working days, while over 90 per cent are provided within 15 working days. Telecom claims that 75 per cent of the 400,000 faults which are reported each year are cleared within one working day, while 95 per cent are repaired within two working days.
Mr Kane said that while on average the company already surpassed the new standards, it wanted to "eliminate the extreme situations". Waiting time will be progressively reduced as standards are raised, he added.
The company's entire customer service department is also to be overhauled and a new appointments system will be introduced for repair and installation visits. The appointments system, which is likely to include more flexible times for customers who work during the day, will also be subject to compensation payments if service standards are not met.
British Telecom (BT) also guarantees to repair a fault within two working days. If its fails to do so, a £5 credit is paid for every additional working day that the line remains out of order. If the compensation exceeds £25, customers can ask for it to be paid directly to them. BT also allows customers to claim for actual financial loss up to £20,000 if a fault is not repaired, or a new line installed, within the agreed time limit.