Jeep’s local parent company will be required to review how it handles customer complaints, following an investigation by the ACCC.
09:45 26 October 2023Jeep Australia has been ordered to improve the way it handles customer complaints after the top consumer watchdog found the car-maker mishandled numerous problems faced by vehicle owners.
In a media statement, the Australian Competition and Consumer Commission (ACCC) said Stellantis Australia – the parent company of Jeep locally – will be ordered to undertake a court-enforceable review of its customer complaint process after the company handled poorly handled numerous customer complaints over faulty cars.
Prior to the announcement, the ACCC investigated how Jeep failed to issue remedies applicable under the Australian Consumer Law after an undisclosed number of customers experienced faults with their vehicles.
According to the ACCC, these included lengthy delays for Jeep to offer solutions to vehicle faults, delays in parts becoming available, and certain vehicles requiring multiple repairs before faults were rectified.
The consumer watchdog said Stellantis Australia “acknowledged … concerns that its staff may not have properly understood the company’s consumer law obligations when dealing with customer complaints, due to deficiencies in its internal policies”.
Stellantis Australia will now be required to undertake a court-enforceable review of its customer complaint-handling procedures, which will include measures to ensure customers who have experienced a ‘major failure’ are given a full refund or replacement, as they are entitled to under Australian Consumer Law.
Additionally, Stellantis must now provide a written advisory of a customer’s rights under Australian Consumer Law when purchasing a new Jeep – as well as a guarantee that any Jeep owner who requests a refund or replacement vehicle will receive a written response, which includes if the customer's requested fix is not applicable.
“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,” ACCC Deputy Chair Mick Keogh said in a media statement.
The ACCC claims Stellantis has already started to include the Australian Consumer Law in more of its internal systems and communications, and is providing staff training to ensure customers are not denied the remedies they are entitled to – both of which have to be reported to the ACCC.
In a media statement, Stellantis Australia said it will undertake the internal review to improve its handling of customer complaints.
"Stellantis Australia is committed to continuously improving its customer care and experience through addressing questions and concerns from customers quickly and effectively," Stellantis Australia said.
"As such, under the ACCC undertaking, Stellantis Australia is reviewing its complaint handling systems, statutory consumer guarantees processes, training for dealers and head office team and annual review of the undertaking commitments.
"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 change process if the intended outcome is better internal compliance documentation and ultimately customer experience."
Sales of Jeep vehicles in Australia have been decreasing in recent years as the brand continues to apply steep price rises across much of its line-up without any major updates to the vehicles.
Jeep’s sales slide has led to Ram Trucks Australia – the US pick-up specialist which is also owned by Stellantis, but distributed in Australia through a separate entity, Ateco – outselling the SUV and 4x4 company for the past 12 months in a row.
