Consumer law gets mixed reaction from businesspeople

Consumer law gets mixed reaction from businesspeople

JAKARTA (JP): The implementation of the consumer protection law on April 21, 2000 has aroused mixed reactions from the business community.

A number of business organizations, including the Indonesian Retailers Association, the Association of Food and Beverage Producers and other business associations have lodged complaints demanding more time to study and understand the law.

A number of company executives shared their opinions, preparations and strategies in welcoming the implementation of the law.

Tonny Pranatadjaja, corporate relations director of PT Unilever Indonesia Tbk. and president of the Indonesian Cosmetics Association:

The issuance of the consumer protection law justifies our commitment to producing products of high standards. In a fair and global business system such a law is very common.

Yet we have to realize that not all business entrepreneurs, especially the middle to small-scale ones, are ready and understand the whole content of the law and the consequences that follow.

Besides, these companies will have to make major preparations which will certainly require additional funds. For example, they have to upgrade their factory equipment, improve the standard of the products and provide training for their workers.

It is good to implement the law, but the government should make extra efforts to promote it and to allow more time and tolerance to these small and middle level companies in adopting the law. Technical assistance for these levels of companies are also needed.

On the other hand, large-scale or multinational companies have been designed to be more consumer oriented firms. We only need some minor adjustments to the law in terms of language.

PT Unilever Indonesia is ready to adopt and to abide by the consumer protection law and we don't have to make any change in our policy which is already in line with the law.

Our company must maintain the standard of our products without increasing the prices, despite the ongoing crisis.

Doddy Amaruddin, vice president of communications at PT Telkom:

The company launched a number of important strategies a few years ago in the face of the enforcement of the consumer protection law.

Our first action was to train and provide the company's front liners, officials and directors with a comprehensive knowledge of the law.

We expect that the entire staff of PT Telkom will have understood all aspects included in the law when it becomes effective on April 21.

The second stage was to replace old and run down equipment, networks and operating systems with more sophisticated ones in order to meet consumer demand.

We have been working and trying hard to improve our services, although we understand there are still many complaints from our subscribers.

For PT Telkom, the implementation of the law will protect both producers and consumers and the company must be ready to face any claims or complaints lodged by consumers.

The problem is that the government has not yet made any serious or clear attempts to inform and to educate both companies and the public about their rights and obligations.

PT Telkom has been proactive in educating its consumers and staff about their rights through various forms of media, including seminars, public talks and joint programs with the Indonesian Consumers Foundation and other related agencies.

The government has always been too late in taking action. But, better late than never.

Gatot Wibowo, public relations and communications director of PJKA railway company:

The consumer protection law can no longer be delayed, whatever the reason.

PJKA warmly welcomes the implementation of the law as an effective means to push its staff to work better, which will in turn affect the comfort and safety of our customers.

PJKA said that the year 2000 would be the Year of Service, meaning that the company pledges to totally upgrade its fleet, to hold more training in human resources and offer consumer guarantees.

I hope we can change our image to being the most reliable and affordable transportation means for the majority of Indonesians.

We receive a lot of complaints on delayed train schedules, dirty cars, unfriendly train attendants and many others.

The company plans to overhaul the existing system, starting from its fleet, infrastructure, facilities in every railway station and ticketing, as well as other supporting facilities.

Of course it will cost a lot of money, but this is one of our major strategies in the 21st century.

Maryono, head of the customer and public affairs division of state electricity company PT PLN:

The company has created various programs and launched strategies to anticipate the issuance of the law.

Since last year, when the law was endorsed by the legislature, PLN has trained its internal staff, especially those who work in divisions which directly deal with customers and the public.

We cannot say we are ready to face all the possible consequences, but we are trying our best to equip our workers with adequate knowledge of the law.

To satisfy our customers, we have made a thorough assessment and new arrangement of the company's service standards applied in every unit throughout country.

We have also made some adjustments to our administrative and technical systems to meet with the varying demands of our customers.

Like facing the possible threat of the Y2K (millennium) bug last New Year's Eve, we do not yet know what will happen next.

Ariyanto Zainal, president director of MAC909 Advertising Company:

The implementation of the consumer protection law will create a fair and healthy business environment.

I know that under the law, advertising companies and their clients bear similar burdens and responsibilities for the impact of their advertisements.

Currently, advertising companies create advertisements based on orders from clients. Usually, they give us information and the necessary materials relating to what should appear in their advertisements. Up to now, we have not responsible for the content of the advertisements. We have only dealt with how to effectively communicate the messages of the products, which are sometimes inappropriate and even misleading.

Actually, we have specific ethical codes which regulate the country's advertising business. But the codes are legally weak. There are no strict sanctions enforced on violators of the codes.

With the implementation of the law, the business world will be more well organized as everybody will know their place.

The law will force every part of the business world to be transparent and honest. Presently, some clients often hide information about their products in order to boost the quality of the goods in their advertisements.

Under the law, they have to clearly give us all the required material and information and we have to also create informative and truthful advertisements.

It is a challenge for us to act professionally. (raw/ste)