9/9/03

"I am committed to making sure that the days of long-winded and confusing privacy statements that most consumers ignore are numbered," said Mr Malcolm Crompton, Privacy Commissioner.

The Commissioner made his comments while putting the finishing touches on a draft resolution to improve privacy notices that will be debated on September 12 during the 25th International Conference Data Protection and Privacy Commissioners being held at Sydney's Darling Harbour Convention Centre.

"The resolution aims to revolutionise consumer privacy choices in the same way food labelling informed consumer choice. This is a global initiative that will improve communication between consumers and organisations in the on and off line environments," he said.

Prior to consideration by the Commissioners, the details and progress of the resolution will be further developed during a workshop of privacy experts to be held on day two of the 25th International Conference Data Protection and Privacy Commissioners (10-12 September 2003).

"The average consumer wants to spend about 10 - 30 seconds scanning a privacy statement," said Mr Crompton. "They want enough understanding to compare one organisation's practice against another's and to know where to go when they want more information.

"According to a leading international policy centre most consumers do not understand privacy statements. (More information, Annenberg Public Policy Center of the University of Pennsylvania, Americans and Online Privacy: The system is Broken, at http://www.asc.upenn.edu/usr/jturow/internet-privacy-report/new.html)

"The good news is that consumers do prefer and use simple standardised information formats, such as the nutrition information tables found on all food products. Condensed privacy statements presented in a similar way would increase consumer awareness and interest in privacy.

"Organisations from around the word will also benefit. Improved communication with consumers enhances client trust and loyalty. Global organisations also directly benefit from economies of scale resulting from standardisation.

"The condensed format would include: clear simple and familiar language; information on 6 or 7 key elements; the ability to compare different products and services; and, clear and easy access to further information.

"The use of a standardised format will, over time, help people become familiar with key privacy elements and lead to increased informed consumer choices," said the Commissioner.

Initially proposed by the Office of the Privacy Commissioner, the resolution to the 25th International Conference of Data and Privacy Commissioners was developed by a working group of 11 privacy authorities. Business and consumer representatives were also consulted in the process.

"The new format will give consumers the most important privacy information in a quick and easy way with links to formal legal notices if further notice is required by the different laws," said the Commissioner.

"If passed, the resolution, while not law will send a powerful message to all organisations around the world of the need to improve consumer knowledge. It will also lay the foundation for further work on how to do it successfully. The resolution complements excellent work that is already occurring in Europe and the United States," said the Commissioner.

The resolution is due to be debated and voted upon by Commissioners from around the world at the Closed Session of the Conference on Friday, 12 September 2003.