ATAS Complaint Handling

Naomi MenonATAS Compliance ManagerHead of Compliance and Operations AFTA

Agenda

Item Topic

1 Why are Complaints important?

2 ATAS Charter

3 ATAS Code of Conduct

4 ATAS Complaint Escalation Process

5 ATAS Complaint Appeal Committee (ACAC)

6 Best Practice

7 Apologies and UCC

8 Case Studies

“ATAS has a strong focus on consumer complaint handling and

dispute resolution.”

Complaints Impact

Organisations

• Loss of focus

• Unnecessary time and resources

• Loss of reputation

• WH&S issues

• Financial expenditure

• Staff turnover and absenteeism

Staff Members

• Stress, anxiety, frustration

• Fear of attending work or reporting incidents

• Reduced productivity

• Personal guilt/loss of reputation

• Emotional exhaustion/burnout

Complainants

• Unable to achieve the outcomes they are looking for

• Obsession/loss of perspective leading to losses that are greater than the original harm they suffered

• stress

Good

• Improve products and services

• Build customer loyalty

• Improve bottom line

Bad

• Court or tribunal

• Time and expense

• Damage business brand/reputation

Complaint Management

ATAS Eligibility Criteria

Clause 2.5(k) Customer Dispute Resolution and Complaints Handling

The applicant must be committed to the efficient and effective resolution of complaints and disputes.

ATAS Eligibility Criteria

Clause 2.5(k) Customer Dispute Resolution and Complaints Handling

The applicant must provide evidence of its customer dispute resolution and complaints handling policy.

ATAS Eligibility Criteria

Clause 2.5(k) Customer Dispute Resolution and Complaints Handling

ATAS Participants are required to notify the client by appropriate means

a) When a dispute with a client arises, as to the participant’s internal process, and

b) When the client is not satisfied in regard to the final outcome of the participant’s internal process, as to the available external process.

“ATAS has a strong focus on consumer complaint handling and dispute resolution. As a result, we are actively committed to helping you resolve any complaint or concern that you may have about the way in which we have provided our services.”

3 Stage Process

Stage 3 - ACAC

Stage 2 - ATAS

Stage 1 – Agent

Stage 1: Our resolution – within 21 days

• We will attempt to resolve your complaint in the first instance in line with our complaint and dispute handling processes.

• When attempting to resolve your complaint we will consider all relevant circumstances and information and inform you of our proposed action.

(c) We will acknowledge your complaint within 5days of receiving it.

(e) We will attempt to investigate your complaint and inform you of the outcome within 21 days of receipt.

Key Time Frames

Stage 2: Review by ATAS Compliance Manager – within 45 days

If you are not satisfied with the outcome of our proposed resolution (stage 1), you may escalate your complaint to the ATAS Compliance Manger.

This can be done via the online complaint form available at atas.com.au.

Stage 2: Review by ATAS Compliance Manager – within 45 days

If accepted, the Compliance Manager will undertake an investigation into the complaint and will make one of the following determinations:

Cl 5.7 ATAS Code

a. Seek to resolve the matter by mutual agreement;

b. Find that we have already taken, or proposed to take, action that would sufficiently resolve the complaint;

c. Require us to take particular action to resolve your complaint

d. Find that we have not breached our obligations under the Code and close the complaint; or

e. Find that we have breached the Code and refer the matter to the ATAS Complaint Appeal Committee (ACAC) for independent investigation.

Stage 3: Review by ACAC – within 90 days

Where a complainant is not satisfied with the outcome of the review by the Compliance Manager (stage 2), the complaint may be appealed to the ACAC who will review the complaint and make a determination.

ATAS Complaint Appeal Committee (ACAC)

Stage 3: Review by ACAC

A complainant must appeal to the ACAC within 14 days of the notification of the outcome by

the ATAS Compliance Manager and must do so in writing to acac@afta.com.au

Complaint Best Practice

Key Point 1

Welcome Complaints

Key Point 2

Clear Process

Key Point 3

Staff Awareness

Key Point 4

Acknowledge receipt

ATAS Code = 5 Days

Key Point 5

Assess the Complaint

Key Point 6

Manage Expectations• If progress on a complaint is delayed, tell the

complainant as soon as you can.

• Make sure the complainant knows when they can expect to hear from you.

Key Point 7

Inform the Complainant about the outcome of their complaint

- The action taken by your business

- The outcome of the complaint

- Reasons for the action taken

- What you are offering (compensation/apology)

- Information about further avenues ie. ATAS

Key Point 8

Record Keeping

Key Point 9

Review Complaint Data

Key Point 10

Objectivity– Openness

– Impartiality

– Confidentiality

– Accessibility

– Completeness

– Equitability

– Sensitivity

‘If you make customers unhappy in the physical world, they might each tell six friends. If you

make customers unhappy on the internet, they can each tell 6,000 friends.’ – Jeff Bezos,

amazon.com

Recap of the Code Obligations

AIMS OF THE CODE:

a) Setting minimum standards of behaviour and service delivery

b) Holding all ATAS accredited travel agents to the same standard of behaviour

c) Establishing an independent process for assisting consumers and agents to resolve complaints

d) Building the professionalism of the travel agent industry into the future.

Service Quality Promise

a) In providing our services we will,

i) Advise you of any relevant options and alternatives to satisfy your travel requirements, taking into account your particular interests as well as our arrangements with our travel suppliers

ii) Be receptive to suggestions and feedback we receive;

Service Quality Promise

a) In providing our services we will,

iii) Disclose all relevant information in a plain and easy-to-understand form;

iv) Communicate with you and/or your authorised representative in a timely manner;

(v) Monitor external developments affecting how we provide our services, including changes in regulation, codes of practice and other related matters;

(vi) Ensure that our products and services are fit for any disclosed purpose;

Service Quality Promise

(vii) Act with due care and skill;

(viii) Not engage in any acts or omissions of a misleading or deceptive nature;

(ix) Act fairly and in a reasonable and ethical manner;

Service Quality Promise

(x) Treat you with respect, consideration and courtesy and;

(xi) Comply with the Australian Consumer Law.

Service Quality Promise

“I believe that I am owed at the very least an apology….”

- complainant

Apologies

A ‘full’ apology given at the right time can provide emotional or psychological benefits for example:

- Restoring dignity, face and reputation

- Providing a sense of justice or acknowledgment that recipient was right and

- Giving peace of mind.

6 R’s

1. Recognition

2. Responsibility

3. Regret

4. Reasons

5. Redress

6. Release

Things to avoid in apologies

Subject Matter

• Inaccurate apologies — apologies that incorrectly identify the issues of primary concern to the recipient.

• Misguided apologies — apologies for action/inaction or harm for which there was in fact no obvious responsibility.

• Generalised apologies — apologies that fail to identify the relevant problem, fault or mistake eg ‘I am sorry for what occurred,’ or the classic ‘mistakes were made.’

Things to avoid in apologies

Content

• Avoidance apologies

- Apologies that focus on the action or reaction of the recipient rather than the conduct of the person giving the apology eg ‘I am sorry you took offence at what I said’

• Conditional apologies

- Apologies that question whether the recipient was harmed eg ‘If you were offended by what I said, then I am sorry’

• Partial apologies

- Apologies that fail to include an admission of responsibility for the problem and the harm caused eg mere expressions of regret, sympathy, sorrow, benevolence etc

Legal Liability

NSW, ACT and QLD

"apology" means an expression of sympathy or regret, or of a general sense of benevolence or compassion, in connection with any matter whether or not the apology admits or implies an admission of fault in connection with the matter.

Also SA – but excludes defamation

Legal Liability

WA, VIC

apology means an expression of sorrow, regret or sympathy by a person that does not contain an acknowledgment of fault by that person.

“An apology is the superglue of life! It can repair just about anything!!”

- Lynn Johnston

Unreasonable Complainant Conduct (UCC)

Conduct is likely to be unreasonable where it involves behaviour which, because of its nature or frequency, raises substantial health, safety, resource or equity issues for the organisation, its staff, other service users and complainants.

- Google NSW or Commonwealth Ombudsman Unreasonable Complainant Conduct for a detailed model policy and procedure.

Tips

• Remain cool, calm, collected.

• Really Listen.

• Escalate internally.

• Don’t dismiss.

• Use the ATAS process !

ATAS – Mutual Resolution example• Consumer had requested full service on the airplane – in

particular – that they needed wine.

• booked the airline on agent recommendation but found out prior to leaving it was not full service and they could only have beer on board.

• AFTA recommended a refund amount in between what the agent suggested and the complainant demanded and both parties agreed to settle by mutual resolution.

ATAS – Mutual Resolution example

Complaint: Had provided an itinerary that she required connecting flights to. Agent booked a day early. Agent relied on signed confirmation of itinerary and t&c’s.

Outcome: After extensive discussions with Agent, they agreed to refund amount requested of additional flights booked of $889.

ATAS – Review by ACAC

Complaint: the complainant claimed he had been told over the phone that travel was by mini-bus however transport was by public transport.

ATAS Compliance Manger: Found no breach, website/itinerary showed mode of transport.

ACAC: The Committee was satisfied that some fault lay with the Agent and that the amount offered was not sufficient.

ATAS – Review by ACAC

RELEVANT SECTION:

Cl 3.2(a)(iii) of Code:

In providing our services, we will disclose all relevant information in a plain and easy-to-understand form.

SANCTION: A rectification order to increase the refund to $1150 which was half of the amount being claimed was ordered.

VCAT

Complaint:

• Itinerary showed return dates of 30th

September, however e-tickets were for 16th

September which was due to limitations on ability to book in advance at time of booking.

• This was identified on 8th September by travellers and alerted the agent.

• Corresponded via internet messaging service about arranging new return flights.

VCAT

Complaint:

• Agent advised there were only options to return a week or so earlier or later and some travellers chose to return on Ticketed Date.

• The complainant however did not want to cut short holiday and booked alternative return flights on a different airline at a total costs of $4,285.53

VCAT

Complaint:

• Agent admitted a mistake made by consultant, but contended that the applicants were not entitled to make alternative arrangements without the approval of Agent, and that, if they had waited, it would have become possible to book alternative flights with that airline on or about the Schedule Date.

VCAT

Decision:

• Breached consumer guarantees under section 60 and 61 of the Australian Consumer Law.

• Major v minor failure?

• Major, and due to facts of case, entitled to the $4,285.53.

• Additionally, VCAT fee for $209 was payable.

Most common complaints

1. Cancellation fees

2. Terms and conditions

3. Ticketing errors

4. Misleading and deceptive conduct

5. Way complaint was handled

6. Complaint policy not available

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