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Privacy Laws in New Zealand

By Greg Sallis


As the need for data increases, more and more countries are implementing stringent data protection policies to help safeguard consumers’ confidential information.


New Zealand was one of the first countries to enact laws dedicated to its citizen’s right to privacy with its Privacy Act of 1993. This act has now been updated to the current “Privacy Act of 2020,” where all the rules for collecting and processing personal data are enshrined.


We’ll examine the Privacy Act of 2020 and explain what it means for businesses and other entities that collect personally identifiable information (PII).


What Is the Privacy Act of 2020?


The Privacy Act of 2020 governs how businesses and organizations collect, store, use, and share personally identifiable information.


The act was passed by New Zealand’s parliament on June 2020 and came into force on December 1st, 2020. It made significant changes to the 1993 law and covers a broad range of topics, including limits on the use and disclosure of PII, data breach notification requirements, restrictions on cross-border transfer of personal information, etc.


Who Does the Privacy Act Apply To?


The Privacy Act 2020 applies to any person, business, or organization, whether in the private or public sector, that collects and holds personal information. These includes:


  • Companies
  • Small businesses (including sole proprietors)
  • Social clubs
  • Government agencies
  • Charitable organizations
  • Religious groups
  • Any other organization defined under the Company Act 1993


However, some organizations and individuals are not obliged to follow the rules of the Privacy Act. Organizations and individuals exempted from the rules include courts, members of parliament acting in their official capacity, and the news media.


Rules for Collecting Personal Data


The Privacy Act defines “Personal Information” as information that may be used to identify a person, including information related to death, marriage, and relationships.

Personal information includes a wide range of information or opinions that can be used to identify an individual. For example, personal information may include the following:


  • An individual’s name, address, date of birth, and phone number
  • Credit card information
  • Medical information
  • Location information
  • Employee record
  • Personal identification (ID) number


The Privacy Act 2020 introduced stringent rules on individuals, businesses, and organizations that collect personal information. According to the Act, these entities must abide by the following rules. They must notify consumers about:


  • What information is being collected
  • Why it is being collected
  • How the data will be used
  • How the information will be protected
  • The consumers’ right to review and correct the data


An individual’s authorization is needed for any other use or disclosure of the information. Failure to comply with these rules will attract penalties.


The Privacy Principles


The Privacy Act 2020 has 13 privacy principles that set out how businesses should handle personal information. The first four principles govern how organizations should collect personal information. This includes how to collect it and use it.


Principles 5 through 7 govern how the collected information should be stored. Consumers have the right to review and seek correction for their PII. The rest of the principles govern how the information should be used and shared.


Penalties for Non-Compliance

Businesses and organizations found violating the privacy rules enshrined in the Privacy Act 2020 may be subjected to fines and penalties amounting to $10,000.

Possible consequences of privacy rules violation include warning letters, compliance notices, access directions, public interest inquiry, public naming of the entity, and referral to the Human Rights Review Tribunal.

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