Priceline fails mandatory information standard for cosmetics

National retailer Priceline Pty Limited will correctly label cosmetics in its stores following an Australian Competition and Consumer Commission investigation.

The ACCC has accepted court-enforceable undertakings from Priceline, which retails beauty, health and home products. The company had sold a number of cosmetic product brands that did not comply with the Trade Practices (Consumer Product Information Standards) (Cosmetics) Regulations 1991.

The standard requires cosmetic ingredients to be listed on the container or on the product itself if the product is not packed in a container, or alternatively a list of ingredients be available to consumers at the point of sale. The standard also sets out requirements about how the ingredients are listed.

"The mandatory standard for cosmetics tells consumers about the content of cosmetic products, including possible ingredients which may irritate, or cause an allergic reaction", ACCC Chairman, Mr Graeme Samuel, said today. "This is important information for many people.

"The ACCC takes its role of enforcing the consumer product safety and product information standards seriously and will not hesitate to take action where issues of public safety and information are concerned".

Priceline Pty Limited will:

• implement and maintain a permanent fixture, developed by Priceline, which will be fixed to cosmetic display units in all its stores that has plastic pockets for the insertion of ingredient lists and is removable only by use of a screw driver
• appoint a Priceline Cosmetic Manager in each Priceline store who will be responsible for authorising all cosmetic purchases and systems of display where cosmetics are displayed outside main cosmetic display units
• immediately begin monitoring the effectiveness of the permanent fixture by conducting a weekly check of the cosmetic display units
• implement a corporate trade practices compliance program for Priceline employees or other persons involved in Priceline's business, and
• implement an effective complaints handling system.