A Wake Up Call
November 3, 2015
They sift through piles of trash for a pittance
November 3, 2015

Why Monetary Compensation For Call Drops Is Self Defeating

The Indian telecom service providers are in a jam with the Telecom Regulatory Authority of India (Trai) instructing them to compensate with Re 1 for each call drop with a maximum compensation of Rs 3 every day.    With a dropped call ratio of 12 per cent (as per recent findings of Trai), India can claim to have one of the world’s worst networks. Trai’s permissible limit is just 3 per cent.    Trai has also increased the penalty on telcos to up to Rs 2 lakh for poor mobile service quality. The existing norms stipulate Rs 50,000 for first violation, followed by Rs 1 lakh for subsequent violations. According to the new rules, the fine has increased to Rs 1 lakh, followed by Rs 1.5 lakh for the second violation and Rs 2 lakh thereafter. The Cellular Operators Association of India (COAI) is likely to raise the issue with the Department of Telecommunications. The telcos have suggested that they might have to take the issue to court of law if they do not get sympathetic hearing by the Government.  – See more at: http://www.businessworld.in/companies-markets-co-report/why-monetary-compensation-call-drops-self-defeating#sthash.mJ1MXOF5.dpuf

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