50 years of consumer rights – how far have we come? Jenni Mack

1. 50 years of consumer rights – how far have we come?Jenni Mack

2. Consumer rights • The right to safety • The right to be informed • The right to choose • The right to be heard

3. Substantial achievements … but many have taken time … • 50 years for unit pricing • 15 years for nutrition labelling • 15 years for mandatory product safety standards • 20 years for national consumer law • 20 years for national consumer credit law

4. Role of Consumers International • Expanded on the first four rights • Won international recognition for those rights • 1985 UN Guidelines on Consumer Protection CI added – • satisfaction of basic needs, • redress, • education, • a healthy environment

5. Early protections • Weights and measures • Fraudulent ingredients “Dangerous people” • Hawkers and peddlers Act 1849 (QLD) • Pawnbrokers act 1857 (Tas) • Mondey lenders Act 1912 (WA)

6. First wave organisations • National Council of Woman, • Country Women’s Association and • Federated Association of Australian Housewives Advocacy tools: consumer boycotts and protest marches Market interventions: co-operatives, bulk buying and discount for cash schemes

7. Post war boom • Economic prosperity, high employment, growth in manufacturing • Explosion in white goods and small appliances • Emergence of consumer testing organisations • Ruby Hutchison set up Choice

8. 1960s • April 1960 - First Choice magazine • 1000 members a week • 1965 Unsafe at Any Speed • Nader’s Raiders

9. 1970s • Trade Practices Act 1974 • Standards of business conduct • s52 misleading and deceptive conduct ban • Linked competition and consumer policy

10. 1970s activism • CFA established • Radical groups - BugaUp • Global Nestle boycott

13. 1980s – expansion • Federal Bureau of Consumer Affairs • Ministerial Council on Consumer Affairs • PM Hawke gives first Ruby Hutchison address • Consumer’s Health Forum • Consumers Telecommunications Network • Financial counselling • Community legal centres

14. 1990s • Litigation penalties fund advocacy and assistance • Working with industry • Rise of economic policy in consumer debates • The demanding demand side

15. Consumer policy to Treasury • Wallis financial system reforms • National consumer Credit Protection Act 2009 • Unfair Contract Terms 2010 • Australian Consumer Law 2011 • Stronger Super • Future of Financial Advice • Payday lending • National disaster insurance reform

16. 2000s - behavioural economics Integration of psychology and economics Looks at how people actually behave • Policy tools from behavioural economics • Choice architecture • defaults

17. Future of Financial Advice reforms • Disclosure doesn’t work for conflicts – hence banned • Opt-in or mandatory contract renewal to end passive income problem • Opt-in works on both consumer behaviour and adviser behaviour

18. This decade? • Consumer solutions without government or industry • FoodSwitch App

19. Consumer initiated campaigns • Dave Carroll – United Breaks Guitars • Adam Brimo – Vodafail • Change.org

20. Consumer rights - relevant as ever • Consumer rights, social justice and sustainability will continue to underpin consumer policy • $3.6million fine against Optus for misleading and deceptive conduct • New technology doesn’t mean old problems go away

21. This decade - content? • Access to services • Sustainable consumption • Food regulation to address obesity • Superannuation • March of technology • Confusopoly

22. This decade - advocacy? For Choice • Consumers want more than info For all groups • Funding?

23. Glaring gaps • Superannuation consumer advice and advocacy centre • Funding for CFA

24. Agile and innovative • Productive 50 years • But no certainty because of them • Consumer rights as relevant as ever We must be more agile and innovative Ready to respond quicker More determined than ever