RegulationAustralia
New Privacy Laws: Loyalty Programs Must Disclose ADM Usage
Loyalty programs using personal data for automated decision-making (ADM) must disclose this in their privacy policy. ADM has been prioritised for the new privacy legislation (one of 30 issues included with others deferred). Non-compliance will risk fines including administrative breaches with fines up to $330,000 and a mid-tier level of fines at over $3 million. Loyalty programs using more advanced technology and customer data to deliver better offers and experiences should be acceptable rather than alarming for loyalty program members according to David Parsons of Ellipsis & Company.