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Verizon FCC claim overview:
- Who: Verizon is asking for the Federal Communications Commission to update its label cost estimates.
- Why: Verizon says that its internal data shows that compliance with the Paperwork Reduction Act would require more worker time than the FCC has estimated.
- Where: The Paperwork Reduction Act is a federal law that applies across the United States.
Verizon is asking the Federal Communications Commission (FCC) to re-assess its estimates for the amount of labor it will take and cost the company will incur in order to print broadband labels for customers in compliance with the Paperwork Reduction Act.
AT&T, Verizon and Lumen had a joint meeting with the Consumer and Government Affairs Bureau where the companies detailed how the Paperwork Reduction Act would affect each.
Verizon claims it will take that each nutrition-style label will take between 30 minutes and nine hours to produce. Verizon has estimated it will need to create 500 different labels for the Verizon broadband service offerings rather than the five the commission had projected. AT&T estimated similarly.
Verizon also told the FCC that, if a separate label is required for each geopolitical unit of government, that cost and the number of labels required would be exponentially higher for Verizon broadband.
Verizon also claimed creating a label that included all local fees would defeat the purpose of the labels by creating confusion for customers about which fees apply to them and which do not. It also would significantly increase the size estimate of the labels.
“The Commission could treat these fees the same way it plans to treat taxes, or permit providers to list the maximum state and local fee a consumer would incur, which would both provide consumers the information they need to effectively compare provider plans and also accomplish the Commission’s goal of ensuring the labels are simple and easy-to-understand,” the Verizon FCC letter explained.
Information on customer service cost increases should remain private, Verizon FCC letter claims
Along with claiming the costs for each company were highly underestimated, the Verizon FCC letter claimed the details of those costs should remain private and out of public view.
Verizon explained the customer service operations details should remain private because the information could provide other companies with a competitive advantage, it is information the company does not normally divulge publicly, and there is a high likelihood it would lead Verizon broadband to have a competitive disadvantage if other companies had access to its customer service operations data.
In November, Verizon was hit with a class action lawsuit claiming it advertised a flat-rate fee plan and then raised the prices on that plan through hidden “administrative fees.”
Do you believe telecommunications companies should disclose all fees on an easy-to-read label? Let us know in the comments.
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7 thoughts onVerizon says FCC’s newly required broadband nutrition-style labels will cost more than estimated
I agree that all telecommunications should include all fees and easy to read labels for all customers thank you. I am a Verizon customer for a long time and I noticed that my bill it’s never the same it keeps going up every month I’m not sure for what reason!!
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Yes all cellphone providers should be required to post their fees so we know what fees are required and how much those fees are and pasted on to consumers, some fees are not supposed to be passed on to consumers but companies like Verizon, AT&T and Tmobil still pass on those fee to us, if they had to post what each fee and which one are to be passed on to consumers it would help to stop the fees that are required not to be passed on to us.
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