New data breach laws proposed by the Australian government will be bad for the business community, which will be saddled with compliance costs claims the Australian Bankers Association (ABA).
According to the ABA, the Privacy Amendment (Privacy Alerts) Bill extends beyond crackdowns on data breaches overseas and could clash with Australia’s existing information protection laws, which it says are “robust”. The telecommunications carrier industry group is also critical of the bill, which it says would place excessive burdens on the industry.
The bill requires that organisations report breaches in cases that could result in “a real risk of serious harm”, but the banks say the meaning of this is unclear.
“The real cost to banks involved with this legislation is the actual notification to affected customers,” ABA policy director Ian Gilbert declared to the Senate committee.
“The breach may have arisen beyond the bank’s control. For organisations with large customer bases, the notification requirement may result in a disproportionate cost compared with the possible harm caused by the breach.”
Australian business groups also questioning the timing. The Australian government aims to get a raft of laws that affect business through this month’s final sitting of parliament before the 14 September election and currently has a backlog of more than 50 bills.
On the proposed data breach notification law, the banks claim they will often have to seek legal advice on whether to report a breach, and the government’s proposal could also put pressure on the industry’s regulator.
Sentiment in the financial services sector deteriorated in the three months to September, as firms digested the challenges of lower interest rates and the uncertainty caused by the vote to leave the European Union (EU), according to the latest CBI/PwC Financial Services Survey.
However, a London summit on the industry’s introduction of the technology cautions that testing and acceptance are still at an early stage and firms should proceed with caution.
The proposals of both US presidential candidates could shake up operating conditions in several sectors, reports the credit ratings agency.
The Danish shipping and oil conglomerate confirmed that it will separate its businesses into stand-alone transport and energy divisions.