Telus, western Canada’s largest phone company, is increasing phone rates again and introducing a new $2 paper bill fee in August.

Starting July 6, Telus is raising the monthly rate for some Home Phone customers:

• Local Line, Smart Home Bundle – 3 Pack, Smart Home Bundle – 4 Pack, and Smart Home Bundle – 13 Pack customers will see an increase between $0.05 and $4.43;
• TELUS home phone – lite customers will see an increase of $2;
• TELUS home phone – basic customers will see an increase of either $2 or $3.

Exact details on how the increases will impact your monthly rate will appear on the last page of your Telus bill issued between June 6 and July 5, or you can get access to an electronic copy of your latest bill from Telus’ e.Bill system.

Telus is also raising rates on the following calling features by $3 a month when they are purchased individually:

• Anonymous Caller ID
• Call Screen
• Caller Reveal
• Voice Mail Simple CO
• Call Forwarding
• Call Gate
• Smart Ring

Telus wants to encourage customers to subscribe to bundled, multiple calling feature packages.

Beginning Aug. 1, Telus will also start charging a $2 monthly fee for High Speed Internet customers who choose to receive a paper copy of their bill. Customers can sign up for e.Bill to avoid this charge. Telus customers who do not subscribe to broadband will not be charged the fee.

With paper bill fees forthcoming for Telus’ Internet customers, most will want to convert to electronic billing to avoid the extra charge. Until Aug. 1, customers who volunteer to switch will get a $5 credit applied to their account.

To switch to e.Bill, register your account online, and choose e.Bill when asked about your Billing Method. Already registered? Log into your account, click your account number, and click “Update” on the billing method line.

Two former interns for Bell Mobility have filed complaints with Canada’s labor department alleging the company exploited an internship program to acquire the ultimate in cheap labor.

Jainna Patel, 24, spent five weeks at the wireless phone company’s intern campus in Missassauga, Ont. She was enrolled in Bell’s Professional Management Program (PMP), intended to expose workers to the fast-paced telecommunications industry. Patel expected to work with advanced wireless telecom technology and get an introduction to the industry over the course of the three or four-month program. Instead, she and other workers allege they were exposed to 12 hour days doing unpaid entry-level work including phone surveys and basic market research that directly benefited Bell and likely violated Canadian labor laws.

“It felt like I was sitting in an office as an employee, doing regular work. It didn’t feel like a sort of training program,” Patel told CBC News. “They just squeezed out of you every hour they could get and never showed any intent of paying.”

Bell’s PMP invites nearly 300 post-secondary graduates each year to work in the special facility, segregated from regular Bell employees.

Interns are allegedly pressured to work long hours and late, sometimes until 3am, and some left afraid to ask too many questions or complain.

Patel

One intern interviewed by the CBC said he lasted two months in the program and felt taken advantage of performing tedious market research that helped the company place cell towers and advertising billboards. He added he was chastised if he arrived late or complained about overtime hours.

He noted many interns had few opportunities in the jobs market, including at Bell, and many eventually returned to living at home, unemployed.

“I didn’t learn anything,” he said. “I learned not to trust corporations. I learned how life works. Anything I learned professionally was from the other interns.”

Toronto lawyer Andrew Langille, who specializes in internships and labor law, estimates the majority of the 300,000 unpaid interns working in Canada are performing work that directly benefits their host companies in violation of Canadian labor laws.

“Employers decided to use the poor economic conditions and the poor labor market as a carte blanche to begin replacing paid employees with unpaid ones,” Langille claims, noting he hears more complaints about Bell’s internship program than any other program in Canada.

“If you are out of school and you are just providing free work for an employer, then it is typically illegal,” said Langille.

But provincial laws often differ from federal law, opening up loopholes that some companies use to flout labor laws.

Bell’s Creekbank Campus in Ontario.

In Ontario, provincial regulated employers, which do not include Bell, must provide training that benefits the intern without reaping any benefit from the work the intern does. Bell, which is federally regulated, is covered by Canada’s looser Labour Code, which avoids spelling out specific rules governing internships. Case law and past precedent have provided some general guidance that employers should follow, including the fact almost all work should be compensated, but it remains less clear-cut.

Patel’s complaint asks Bell to compensate her almost $2,500 in unpaid wages for her work.

Patel also explained she felt intense pressure from Bell managers to stay quiet and not file any complaints against the program, which at least one manager suggested could be at risk if the government intervened. Patel was told that could result in hundreds of interns being sent home.

Langille was unmoved.

“Is it permissible that a company that makes billions of dollars each year in profits is not paying the minimum wage? It’s ridiculous. A lot of the companies that are using unpaid labor have the ability to pay but choose not to — to save money,” Langille said.

Patel is now back at home worried she will get blacklisted by the industry for being a troublemaker.

[flv width=”480″ height=”290″]http://www.phillipdampier.com/video/CBC BC Bell accused of breaking labour law with unpaid interns 6-24-13.flv[/flv]

Jainna Patel talks with the CBC about her experience as an unpaid intern for Bell Mobility, Bell Canada’s wireless division. (3 minutes)

Canadian telecom regulators have announced new rules that will limit “gotcha” fees for mobile customers caught exceeding their data allowance, push for an end to the ubiquitous three-year service contract, and force carriers to unlock cell phones after 90 days.

The Canadian Radio-television and Telecommunications Commission (CRTC) this week unveiled a new consumer’s Wireless Code governing wireless service. The new rules were introduced in response to more than 5,000 consumer comments received by the regulator over service pricing, opaque wireless contract language, and policies that kept customers locked into long service contracts with expensive exit penalties.

On the surface, the new rules seem to aggressively rein in Bell, Rogers, and Telus — Canada’s three dominant carriers. Among the new provisions taking effect Dec. 2:

• cancel your contract at no cost after a maximum of two years;
• cancel your contract and return your phone at no cost, within 15 days and specific usage limits, if you are unhappy with your service;
• have your phone unlocked after 90 days, or immediately if you paid in full for your phone;
• have your service suspended at no cost if your phone is lost or stolen;
• receive a Critical Information Summary, which explains your contract in under two pages;
• receive a notification when you are roaming in a different country, telling you what the rates are for voice services, text messages, and data usage;
• limit your data overage charges to $50 a month and your data roaming charges to $100 a month;
• pay no extra charges for a service described as “unlimited”;
• you can refuse a change to the key terms and conditions of your contract, including the services in your contract, the price for those services, and the duration of your contract; and
• all cell contracts must use plain language and clearly describe the services customers receive and include information on when and why customers may be charged extra.

[flv width=”480″ height=”290″]http://www.phillipdampier.com/video/CBC New CRTC wireless rules ban contract break fees after 2 years 6-3-13.flv[/flv]

CBC Television’s “The National” explains the CRTC’s new Wireless Code and how it will impact Canadian cell phone customers. Many are skeptical the CRTC will outwit the wireless industry.  (4 minutes)

“Every day, Canadians rely on wireless devices while in their homes, at their jobs, at school or traveling abroad,” said Jean-Pierre Blais, chairman of the CRTC. “The wireless code will contribute to a more dynamic marketplace by making it possible for Canadians to discuss their needs with service providers at least every two years.  The code is a tool that will empower consumers and help them make informed choices about the service options that best meet their needs. To make the most of this tool, consumers also have a responsibility to educate themselves.”

Canadians pay among the world’s highest wireless charges and most are offered contracts lasting three years. In the United States, two-year contracts are standard. But in both countries, once the contract is fulfilled customers do not receive a discount on services going forward.

“The biggest scam of all is still allowed under the new rules: wireless companies don’t lower your bill if you buy your own phone or fulfill your contract, so you are still paying their subsidy-recovery phone rates either way,” complains Thomas Harcourt in Toronto. “Once again, the wireless companies got the ears of the commissioners and despite thousands of angry Canadians, they watered down our ‘Bill of Rights’ into more bait and switch. You can almost see where the wireless lobbyists had their way with the language.”

Most Canadian wireless carriers welcomed the new rules and the industry participated in hearings contemplating their creation. The new federal rules will supersede conflicting, sometimes stronger provincial regulations, which some observers suggest is a decision in the carriers’ favor.

A closer review of the new regulations exposes several that were tempered, perhaps after industry objections.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/BNN Wireless Code of Conduct CWTA 2-11-13.flv[/flv]

Back in February, BNN talked with Bernard Lord, a representative of the Canadian Wireless Telecommunications Association about what policies they hoped to see in a national wireless “code of conduct.” The industry got most of what it wanted in the final Wireless Code. (8 minutes)

The CRTC did not ban 3-year contracts outright. Instead, they tied contract termination policies and fees to the device subsidy phone companies give customers to cheapen the upfront cost of equipment.

Blais

In Canada, a new smartphone selling for $699 might be discounted to $99 with a three-year contract. For the next 36 months, customers gradually pay back that discount, called a device subsidy, in the form of an artificially inflated rate plan. Most companies amortize that payback rate over the life of the contract. Under the new CRTC rules, companies must recoup their device subsidy within 24 months.

“We didn’t focus on the length of the contract, we focused on the economic relation,” CRTC chairman Blais said. “So, in effect, it’s equivalent to those asking for a ban of a three-year contract without us actually banning three-year contracts, because what we’re saying is the contract’s amortization period can only be for a maximum period of 24 months.”

Carriers can still charge early termination fees during the first two years and can also recoup any remaining unpaid subsidy during the third year as the regulations begin to cover more customers already under three year contracts. Customers who bring or buy their own device can also be charged an early termination fee up to $50 during the first two years of the contract.

Since the rules will apply only to new cellular contracts signed after Dec. 2, 2013, current customers will have to wait before the new Wireless Code fully applies to them. That means wireless carriers can lock you to the old rules if you buy a new phone before December until your contract ends or is amended.

“I think a lot of consumers, if they were thinking of going to the mall and picking up a new phone and signing a contract, they should think twice about doing so,” Michael Geist, the Canada Research Chair in Internet and e-commerce law at the University of Ottawa, told CTV News.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/CBC 3-year contracts to end 6-3-13.flv[/flv]

The CBC tells you when you can rip up your three-year contract. But be careful. The new rules don’t take effect until December. Many complain cell phone service is far too expensive in Canada. (4 minutes)

Wireless carriers claim consumers may eventually pay the price for the rules changes, with some hinting they will increase the upfront price for devices or raise rates to cover the shortened window of time they can recoup a device subsidy.

“This requirement does limit consumer choice in the marketplace, and could make a customer’s up-front purchase price of a smartphone more expensive than current offerings,” said Bernard Lord, head of the Canadian Wireless Telecommunications Association (CWTA).

The CWTA also hinted rates may also increase to cover the “major technology development and costs associated with implementing and complying with the new code.”

Ken Engelhart, senior vice president for regulatory affairs at Rogers told BNN a new smartphone under the old three-year contract was typically priced at around $100. Under a two-year contract, that smartphone might cost $300 upfront.

The CRTC’s language banning overage charges for “unlimited” service does not offer consumers any relief from speed throttling. The CRTC says speed limits are acceptable as long as they are “clearly explained” in what the regulator calls a “fair use” policy.

Language that covers contract changes also leaves some wiggle room for carriers to make changes and in certain cases, even increase customer rates while the contract is in effect. The new rules specify customers must make “informed and express consent” to approve a contract change. But the rules might allow a carrier to consider those changes as accepted if a customer does not expressly complain and/or continues to use the phone after a specified deadline. Carriers can also make changes without consumer consent if they involve reducing the rate for a single service or increasing the customer’s usage allowance for a single service.

The limit of data overage charges ($50) and international data roaming charges ($100) are welcomed by most Canadians to avoid bill shock. But most wireless carriers will likely impose usage “toll booths” to avoid uncollectable customer overages. When a customer reaches their limit, they will be given a choice of having their service cut off, opting to cover the overlimit fees, or upgrade their plan.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/BNN Wireless Code of Conduct PIAC 2-11-13.flv[/flv]

BNN talked with John Lawford, executive director of the Public Interest Advocacy Centre about the things Canadians hate most about their wireless phone companies.  (February 11, 2013) (4 minutes)

Rogers customers may now have to pay to read their monthly bills.

Eastern Canada’s biggest cable company wants you to use your broadband service to check your balance, unless you are willing to pay a $2 monthly “paper bill fee.”

Rogers had charged new wireless customers (along with anyone making changes to their account) a $2 paper billing fee since 2011, but now everyone will pay if they want a hard copy.

At the same time the company is adding a new billing fee, it is taking away two popular cable channels in a move the company describes as part of “our ongoing commitment at Rogers to deliver a superior television experience.”

Fewer channels might bring better value if the company reduced the cost of your cable package, but don’t worry about that:

“Please be assured that there will be no change to your Rogers cable TV rates and all other aspects of your service(s) will remain the same,” a company letter said. “We apologize for any inconvenience these changes may cause.”

The inconvenience will be greatest for fans of BBC World who will now have to upgrade to a high-end package to keep watching the popular global news channel. It was stripped out of the basic lineup.

Spike is also getting the spike, kicked into a higher-end package at the same time existing customers see no corresponding decrease in their rates.

The sneaky price increase is not going over well with many Rogers customers, according to the Toronto Star.

When Industry Canada announced it was planning to boost competition by setting aside certain spectrum for new competitors entering the wireless marketplace, the Conservative government promised Canadians they would see a new era of robust competition and lower prices as a result.

Today, it turns out the only competition around is watching which of the three largest wireless carriers snap up their newest competitors first.

Telus, Canada’s third largest wireless carrier, today announced it was acquiring Mobilicity for $380 million — almost exactly the amount of outstanding debt owed by the Data & Audio Visual Enterprises Holdings’ venture. That means Telus will pick up its competitor just by agreeing to pay its bills.

Mobilicity said it was burning through cash at an alarming rate and simply could not attract enough customers in its home service cities Toronto, Ottawa, Calgary, Edmonton and Vancouver, to become profitable. It also reportedly lacked financial resources to take part in a forthcoming spectrum auction that would have been critical to the company’s long-term survival.

Informal merger talks among the three largest independent carriers — Wind Mobile, Public Mobile, and Mobilicity — reportedly went nowhere.

“Mobilicity has been losing a significant amount of money every month,” Mobilicity’s chief restructuring officer, William Aziz, said today. “The financial strength of Telus will allow the business to be continued in a way that will benefit customers and employees. An acquisition by Telus is the best alternative for Mobilicity.”

But that may not be the best alternative for Canadians. Regulators are expected to scrutinize the merger and current rules do not allow Telus to acquire the spectrum Mobilicity holds until next year. But with few other expected buyers, regulators may have no choice but to allow the deal to go through.

If approved, Telus will pick up Mobilicity’s 250,000 customers and likely switch them to Koodo Mobile, its prepaid division.

Minister Paradis

Mobilicity customers could do worse. Koodo Mobile, given a “C” grade by Canadian consumers, was Canada’s highest rated wireless carrier. That disparity hints at how much Canadians loathe their current wireless options.

Bay Street investors were not surprised by the announced merger, believing competition has its limits in a marketplace dominated by three enormous telecom companies — Bell (BCE), Rogers, and Telus — all collectively holding more than a 90% share of the Canadian wireless market. Many expect the remaining independent providers to also jettison their businesses or combine them in a last stand.

Industry Minister Christian Paradis, the Conservative government’s point man on independent competition in the wireless market, was caught off guard by the apparent faltering of the new carriers.

Paradis said he remains committed to making sure Canadians have a fourth choice for wireless service in every regional market in the country. But his only assured success is in Québec, where Vidéotron — the provincial cable company — competes with the big three providers. That competition has worked in that province to hold pricing down. According to The Globe & Mail, the average monthly bill in Québec dropped to $50.36 a month in 2011 from its peak in 2009 and is on par with where it stood in 2007. In comparison, according to CBC News, the average monthly wireless bill across Canada was $77 in 2013, up from $68 in last year’s survey.

Paradis is now pondering new regulations that would prevent the three largest carriers from buying out the remaining two independent providers just for their spectrum assets.

The merger will need regulatory approval from The Competition Bureau, Industry Canada, and the Canadian Radio-television and Telecommunications Commission.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/BNN Telus in Talks to Buy Mobilicity 4-13.flv[/flv]

BNN reported back in April that Telus and Mobilicity were in acquisition talks. The news channel speaks with Maher Yaghi from Desjardins Securities about the implications the merger would have on the Canadian cell phone market and the prices consumers pay. (5 minutes)

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/BNN Telus Acquiring Mobilicity 5-16-13.flv[/flv]

BNN this morning reported the ball is back in Ottawa’s hands as the government tries to decide how it can salvage its wireless competition agenda. (6 minutes)