Kmart broke privacy laws by using facial recognition, commissioner finds
12 hours ago
- #retail
- #facial-recognition
- #privacy
- Kmart found to have broken privacy laws by using facial recognition technology (FRT) on customers without consent.
- FRT was used in 28 stores across Australia to combat refund fraud, capturing facial data of 'tens or hundreds of thousands' of customers.
- Privacy commissioner ruled Kmart's use of FRT as 'disproportionate' and not the most effective security measure.
- Kmart argued an exemption under the Privacy Act for tackling unlawful activity, but the argument was rejected.
- Commissioner highlighted minimal fraud prevention benefits compared to potential harms like surveillance and discrimination.
- Kmart ordered to cease the practice and publish a statement on its website about the findings.
- This follows a similar ruling against Bunnings for FRT use, though FRT is not banned in Australian stores.
- Kmart stopped using FRT in 2022 and is considering an appeal, citing rising theft and safety concerns.