Australia’s Consumer Watchdog Discovers Mishandling of Customer Complaints by Jeep

Jeep Australia has been directed to enhance its approach to managing customer complaints in the wake of critical findings by the country’s leading consumer watchdog. The Australian Competition and Consumer Commission (ACCC) has determined that the car manufacturer mishandled a multitude of issues raised by vehicle owners.

In an official press release, the ACCC announced that Stellantis Australia, the parent company of Jeep locally, will be mandated to undertake a comprehensive review of its customer complaint process, with these measures being court-enforceable. This course of action follows several instances in which the company inadequately addressed customer complaints related to faulty vehicles.

Before this announcement, the ACCC conducted a thorough investigation into how Jeep failed to provide remedies as required by the Australian Consumer Law to a number of customers who had experienced vehicle defects. These issues included protracted delays in Jeep’s response to vehicle faults, extended delays in making replacement parts available, and some vehicles requiring multiple repairs before the problems were fully resolved.

The ACCC revealed that Stellantis Australia “acknowledged concerns that its staff may not have fully understood the company’s obligations under consumer law when handling customer complaints, citing shortcomings in its internal policies.”

As part of the remedial action, Stellantis Australia will be compelled to undergo a court-enforceable review of its customer complaint-handling procedures. This review will encompass measures to ensure that customers facing a ‘major failure’ are provided with a full refund or a replacement vehicle, as is their entitlement under Australian Consumer Law.

Additionally, Stellantis will now be required to furnish customers with written advisories detailing their rights under Australian Consumer Law when purchasing a new Jeep. The company must also guarantee that any Jeep owner who requests a refund or a replacement vehicle will receive a written response, even if their requested remedy is deemed inapplicable. ACCC Deputy Chair Mick Keogh stated, “As a result of Stellantis Australia’s commitments in the undertaking it has provided to the ACCC, Jeep customers will be better informed about, and more easily able to access, their consumer guarantee rights under the Australian Consumer Law.”

The ACCC asserts that Stellantis has already begun to incorporate the Australian Consumer Law into more of its internal systems and communications. The company is also actively conducting staff training to ensure that customers are not denied the remedies to which they are entitled, and these efforts will be regularly reported to the ACCC.

In response to the ACCC’s directive, Stellantis Australia affirmed its commitment to enhancing its customer care and experience by addressing customer inquiries and concerns swiftly and effectively. The company stated, “Stellantis Australia is committed to delivering on the improvements for its customers, team, and dealers identified in accordance with the ACCC undertaking. The company is committed to changing processes to achieve better internal compliance documentation and, ultimately, a superior customer experience.”

Notably, Jeep’s sales in Australia have been on a declining trajectory in recent years due to significant price increases throughout its line up without substantial vehicle updates. This downturn in sales has led to Ram Trucks Australia, also owned by Stellantis but distributed separately through Ateco, consistently outselling Jeep in the SUV and 4×4 market over the past year.

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