January 12, 2026
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politics

Privacy Act reform recommends compensation for data breach victims

Victims of future information breaches, much like final yr’s Optus and Medibank hacks, would be capable to sue for compensation beneath a proposed sweeping overhaul of the nation’s privateness legal guidelines.

Australians would additionally be capable to request the everlasting erasure of their private information and choose out of focused adverts.

Lawyer-Basic Mark Dreyfus says the Privateness Act is not “match for function” and has ordered his division to finish its assessment of the privateness act by the top of 2022, after first starting the method in 2019.

That is along with the snap laws launched final yr, within the wake of the Optus and Medibank hacks, which ramped up penalties for corporations that failed to guard information from being stolen – rising fines from $2 million to $50 million.

The Privateness Act assessment put 116 proposals to the federal government. Mr Dreyfus throughout Query Time on Thursday requested Australians to weigh in on what they wished the way forward for privateness legal guidelines to seem like.

QUESTION TIME
Digital camera iconLawyer-Basic Mark Dreyfus says he needs Australians to have their say on privateness reforms. NCA NewsWire / Martin Ollman Credit score: Information Corp Australia

“The massive-scale information breaches of 2022 have been distressing for tens of millions of Australians, with delicate private data being uncovered to the chance of identification fraud and scams,” he mentioned.

“We made it clear on the time that extra was wanted to guard Australians’ privateness. Australian folks rightly anticipate better protections, transparency and management over their private data.

“This complete assessment … has discovered that the Privateness Act is not match for function and doesn’t adequately shield Australians’ privateness within the digital age.

“The federal government needs to know what Australians take into consideration these prompt adjustments. I encourage all Australians within the safety of their privateness to make a submission to assist information our decision-making.”

OPTUS HACK
Digital camera iconThe assessment comes 4 years after it was first commissioned, and provides to the snap-laws launched final yr which elevated monetary penalties for corporations who fail to safe Australians’ information. NCA NewsWire / Gaye Gerard Credit score: Information Corp Australia

Among the many suggestions is a proposal for federal laws to deal with a present hole in mechanisms accessible to Australians to hunt compensation within the courts for breaches of privateness which fall exterior the Act.

This might imply victims might sue the businesses from which their information has been stolen.

An extra proposal is to amend the Act to permit for a direct proper of motion in order that people can apply to the courts for reduction if their privateness has been interfered with.

Such a direct proper of motion would improve the choices accessible to folks – that suffer loss because of privateness interference – to hunt compensation.

The assessment mentioned: “Empowering people on this manner may additionally serve to extend shoppers’ bargaining energy with companies that gather and use their private data”.

“Introducing a direct proper of motion into the Act would give Australians comparable rights to these accessible to people beneath abroad information safety legal guidelines together with within the EU, New Zealand and Singapore.”

The assessment additionally requires improved dealing with of buyer information and the best way breaches are reported – obliging corporations to inform the Data Commissioner inside 72 hours of changing into conscious of a knowledge breach.

As effectively, the assessment proposes a shift in direction of a European Union-style method to information privateness, comparable to “rights to object, to request erasure, and to have search outcomes de-indexed”.

Submissions on the report are due on March 31.

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