Retailers previously claimed the technology was used for security reasons
Retailers previously claimed the technology was used for security reasons
A major consumer group has referred Australia’s three largest retail chains to privacy regulators, saying they use “unreasonably intrusive” facial recognition technology on customers, and recommend enforcement action.
CHOICE said in a complaint to the Office of the Australian Information Commissioner (OAIC) published on Monday, JB Hi-Fi Ltd’s equipment series The Good Guys, as well as hardware chain Bunnings, and the use of the technology in the Australian branch of the large – Box retailer Kmart – both owned by Wesfarmers Ltd – was unfair and a breach of privacy law.
OAIC, JB Hi-Fi and Wesfarmers were not available for comment. The retailers previously told local media that they used the technology for security purposes.
CHOICE regularly contributes to government inquiries related to consumer issues and its website says it was instrumental in several regulatory changes, such as the banning of risky financial products.
In the complaint, Choice policy adviser Amy Pereira said that facial recognition technology brings “significant risks to individuals”, including “privacy, mistaken identity, discrimination, profiling and exclusion, as well as through data breaches and identity theft.” cybercrime vulnerability”.
“Choice urges you, as Commissioner, to investigate this matter further and consider taking enforcement action,” Perera said.
Any investigation would be the largest in Australia’s technology, although the OAIC has looked into the matter before.
In 2021, it ordered the Australian 7-Eleven chain to destroy “faceprints” collected at 700 convenience stores after setting up an in-store survey on the matter. It has also ordered US software developer Clearview AI, which collects images from social media websites to create profiles of individuals, destroy data and prevent the practice in Australia.
The three chains in Choice complaint operate nearly 800 stores, booking $25 billion ($17 billion) in sales last year.
The consumer group said the three firms collected personal and sensitive information without consent and without explicitly disclosing the practice in one policy.
Choice said there are signs in some stores to alert shoppers to the technology, but “customers’ silence cannot be taken as consent” and many had no alternative places to make their purchases.