Crime ‘entitled’ Bunnings to snag shoppers’ facial data
Bunnings has the right to use facial recognition software on customers to prevent theft and violence against staff, and a court has laid the foundation for wider enforcement.
The Administrative Review Tribunal has overturned the Australian Information Commissioner’s Office ruling that the hardware giant had breached privacy laws by trialling facial recognition in stores.
The retailer used CCTV to scan customers’ faces as they entered 63 stores in NSW and Victoria in the three years to November 2021.
In 2024, the commissioner’s office found that Bunnings had taken customers’ private information without their consent, failed to take the necessary steps to inform them and left gaps in its privacy policy.
The hardware chain appealed the decision to the independent tribunal, which found on Wednesday that there were “serious” threats to security and that the misuse of risk-sensitive information was “negligible”.
“Bunnings had the right to use (the technology) for the limited purpose of tackling very serious retail crime and protecting employees and customers in its stores from violence, harassment and intimidation,” the court said.
The extent of retail crime faced by Bunnings staff and customers was one of the “significant factors” in the decision.
A store manager in Box Hill, in Melbourne’s east, estimated that her team faced threatening or abusive behavior every two to three days, leaving staff “visibly shaken and upset”.
Alexander MacDonald, Bunnings’ national investigations and security manager, told the court the threatening situations were “the worst ever”.
Bunnings calculated that on average at least 66 per cent of theft losses each financial year were attributable to the top 10 per cent of criminals.
Bunnings chief executive Mike Schneider said the court recognized the need for “practical, common-sense steps” to keep people safe and identified areas of the business where all was not well.
“The safety of our team, customers and suppliers has always been our top priority,” he said.
“Our aim in trialling this technology was to help protect people from violence, abuse, serious criminal behavior and organized retail crime.
The commissioner’s office stated that it carefully reviewed the decision and that the decision was open to appeal.
The decision confirmed that the Privacy Act contains strong protections for individual privacy regarding emerging technologies.
“The Australian community continues to care deeply about their privacy and is increasingly concerned about the challenges of protecting their personal information,” an office spokesperson said.
The Retail Council of Australia said facial recognition software, when used correctly and transparently, can play a key role in protecting workers and customers from serious harm.
The peak retail body was willing to work with governments to deliver a “balanced framework”.
Council leader Chris Rodwell said: “This is a positive step forward in tackling retail crime.”
Digital Rights Watch has frowned upon the prospect of wider use of facial tracking technologies and called for a complete ban in retail and other settings.
“(The finding) clearly runs counter to community expectations,” said Tom Sulston, the group’s head of policy.
“Australians want and deserve clear, enforceable laws that meet our expectations. It’s time for lawmakers to act.”
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