Thursday, June 27, 2013

Consumers Need to Know Their Rights

As more and more companies employ slick marketing gimmicks and sales tactics, the chances of a consumer getting duped is pretty high. In just one visit to consumer blogs or websites like The Federation of Malaysian Consumers Associations (Fomca) and the Muslim Consumers Association of Malaysia (PPIM), you will be able to find scores of complaints of fraud like credit card fraud, direct selling, misleading advertisements, scratch and win scams and fake products. Although these websites are becoming popular among consumers as the best platform for  sharing information and airing their grievances, a majority of consumers are yet to voice out. They prefer keeping quiet and refuse to lodge complaints even after realizing that they have been duped by marketing tricks or have bought faulty products.


In developed countries, consumers are more particular about their rights while traders, more responsible. This results in a more transparent and disciplined market. The Malaysian government has also embarked on a similar mission of building more awareness on consumer rights in its journey towards achieving the status of a developed nation by 2020.

Low Awareness About Consumer Rights

The Consumer Profile Research, conducted by the Domestic Trade, Cooperative and Consumerism Ministry (KPDNKK) last year, revealed that only 58 percent of Malaysian consumers were properly aware of their rights. Director of Consumer Movement Division under the ministry, Mat Pauzi Awang said the percentage was still low, despite the consumers being more aware of their basic rights, such as those to compensation and selection.

“However, many consumers are yet to translate that awareness into action. This is because the level of awareness is closely linked to education, job and access to information. Some are also  influenced more by the need to fulfill basic necessities like food and shelter,” he said.

Even more consumers are unaware of their rights in the larger context, such as the rights to a clean and healthy environment, consumer education, security and information. For example, they are aware of environmental issues, but are ignorant of their rights to enjoy their daily life in a safe and clean environment.

“The research shows only 40 percent of consumers are aware of their rights in that respect,” Mat Pauzi said.

Consumers are also still unaware of their rights to protection from items, manufacturing processes and services that can endanger their health and lives. The research further found that consumers with low income and lower education level required better protection as compared to their well-educated and well-off counterparts. 

The expenditure of those with lower income is usually lesser or concentrated on basic necessities. 

“These people will only act if their ability to obtain basic necessities is affected, such as a rise in prices of essentials, or when their means of income is compromised,” he noted.

Mat Pauzi said 6,070 different complaints have been received through the e-Complaint form at the KPDNKK website between January and June this year. These complaints ranged from false pricing, direct marketing scams, fake goods and piracy, violation of agreements and problems with workshops, telecommunication services and petroleum sales.Every day, the ministry receives seven to 10 complaints on its website, through its toll-free line 1-800-886-800 or  visits to its complaint center at the ministry, which started its operation two months back.

Consumers who have been cheated or are dissatisfied with the services and goods they received, can also file a claim at the consumer tribunal as a means of justice for both the consumers and traders.

“Previously, consumers had no avenue to air grievances or seek recourse. Now that there is the Consumer Claims Tribunal, they should make full use of it,” Mat Pauzi observed.

Efforts to Protect Consumers

Increasing awareness on consumer rights has been on the main agenda of KPDNKK and one of the means employed is through  the District Consumer Association, which has been set up in 132 districts across the country. These associations serve as "opinion leaders" or "key communicators" in mobilizing consumerism activities, apart from being a reliable source of reference for consumers.

Besides these, several laws and acts protecting the consumers have also been amended, such as the Consumer Protection Act 1999, which was amended last year to protect the consumers from unethical sales transactions. Meanwhile, the Trade Descriptions Act, 1972 prohibits misdescription of goods provided in the course of trade and false or misleading indications as to the prices of goods, charges or rates for services, accommodation or facilities. This act was amended to include scratch and win scams, misleading advertisements, sale of imitations or fake products.

Other acts protecting consumers are the Direct Sales Act 1993, the Weights and Measures Act 1972, the Hire Purchase Act 1967, the Control of Supplies Act 1961 and the Price Control Act 1946.

“If these problems faced by consumers are not exposed, they would continue to be plagued by it from time to time through various tactics and scams in trade, sale of products with inferior quality, fake halal logos and the likes. Ultimately this will adversely impact the business-consumer relationship,” Mat Pauzi said.

He added that the associations current target group comprised of schoolchildren, youth and women. 

“Youth are the future leaders and women are the main pillars of the family in determining the safety and health of their families.”

National Consumer Month Celebration

July is being celebrated nationwide as the ‘Consumer Month’  with a host of activities to increase awareness among consumers. The theme “Consumer Rights, Your Responsibility” will help the consumers understand their rights and also the regulations protecting them from being cheated by unethical traders. It will also educate the consumers on the need for critical awareness, involvement and action, social interests and environmental awareness.

“Consumers must have the awareness to criticize when there are improprieties and be willing to take action if their rights are ignored. They must also practice good ethics so that their actions do not adversely affect others or the environment. 

"They must also unite in voicing their opinions so that their interests are not easily compromised. The fact is, consumers need to be aware of their roles and responsibilities first to ensure that it is preserved,” Mat Pauzi said.

He hoped that by the year 2020, Malaysians would be able to implement self protection and traders would self-regulate their rights and responsibilities. For those wanting to educate themselves on consumer rights and issues, the main Consumer Month celebrations would be held in Manjung, Perak on July 23.


- Bernama

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