Chapter 1

Privacy in the Private Sector

Chapter 1

Referral and conduct of the inquiry

Introduction

1.1 On 14 May 1998 the Senate referred to the Legal and Constitutional References Committee an inquiry into privacy protection in Australia, [1] linked to consideration of the measures contained in the Privacy Amendment Bill 1998. This bill, which passed the House of Representatives on 1 April 1998, extends the protection of the Privacy Act 1988 to some of the work outsourced by Commonwealth agencies.

Terms of reference

1.2 The terms of reference of the inquiry are as follows:

    (1) The need for Commonwealth privacy legislation to be extended to the private sector, with particular reference to:

      (a) relevant international standards and obligations;

      (b) international comparisons;

      (c) current legislative and other frameworks for privacy regulation in the Commonwealth, States and Territories;

      (d) the role, responsibilities and practices of Commonwealth, State and Territory governments;

      (e) the needs and responsibilities of the private sector; and

      (f) the rights of consumers.

    (2) The effectiveness of any privacy scheme that does not have legislatively backed complaints, investigation and enforcement mechanisms.

    (3) The appropriateness of using the National Principles for the Fair Handling of Personal Information, as produced by the Privacy Commissioner, as a basis for a co-regulatory regime for the private sector and the best means of implementing such a scheme.

    (4) The appropriateness of the provisions of the Privacy Amendment Bill 1998.

Conduct of the inquiry

1.3 The Committee wrote to government agencies, individuals and organisations and advertised in The Australian, The Age and The Sydney Morning Herald on 6 June 1998, inviting submissions addressing the terms of reference. In response, the Committee received 62 submissions, which are listed at Appendix 1. The chart below outlines the number of submissions made by various industry groups to this inquiry. [2]

1.4 The Committee subsequently held four public hearings in Brisbane, Sydney, Melbourne and Canberra. [3] Witnesses heard at these hearings are listed at Appendix 2.

Reporting Date

1.5 The original reference to the Committee included a reporting date of 12 August 1998, which was later changed to 9 September 1998 in an interim report presented to the President of the Senate on 11 August. However, changes to the sitting schedule arising from the Federal election meant that the Committee did not meet until 25 November 1998. By early December 1998, although the Privacy Amendment Bill 1998 had not been restored to the Notice Paper, the Committee agreed at a meeting on 2 December 1998 that it would recommend to the Senate that the inquiry be re-adopted, to report on 15 February 1999. The Senate agreed to this request on 3 December 1998. The Committee sought a further extension on 15 February 1999 to allow the report to be tabled on 9 March 1999, a request which was granted by the Senate. A further request was sought on the 9 March 1999, for the report to be tabled on the 25 March 1999, this was also granted by the Senate.

Structure of the Report

1.6 In addressing the terms of reference, the report takes a broad approach to the issues of privacy protection in Australia, beginning with a review of the context to the current inquiry, and then develops a set of criteria that serve as a benchmark for evaluating privacy protection measures.

1.7 These criteria are then applied to a systematic examination of the privacy protection measures currently in place in Australia. Based on these findings, the report analyses several of the alternatives for reform, and examines the key question of the balance between legislative and self-regulatory measures that is necessary to create an effective and equitable privacy protection system in Australia.

1.8 The Committee's consideration of issues means that the terms of reference of the inquiry are not addressed in strict order. To assist the reader, the major discussion of issues relating to the terms of reference are found in the following chapters.

Terms of Reference

Term of reference 1:

  • 1(a) chapter 3
  • 1(b) chapters 2-3, Appendix 5
  • 1(c) chapters 2 –8, Appendix 5
  • 1(d) chapter 4
  • 1(e) chapter 5 in particular
  • 1(f) chapters 2, 5-8
  • Term of reference 2:
  • chapters 5 to 8
  • Term of reference 3:
  • chapters 5 to 8 especially
  • Term of reference 4:
  • chapters 6 and 8

Footnotes

[1] Journals of the Senate, 14 May 1998, p. 3786.

[2] The chart can be compared with chart No.1 at p.158, which sets out the submissions made to the Attorney-Generals Department's discussion paper, Privacy Protection in the Private Sector.

[3] Brisbane 27 July 1998; Sydney, 28 July 1998; Melbourne 29 July 1998; and Canberra, 5 August 1998.