PRIVACY ACT 2020 - Changes to the Privacy Principles
About the Author:
Paul Wilton (editor)
CA with degrees in commerce, accounting and information technology. Paul worked overseas in the “Big 4” accounting firms and served as a director at Audit New Zealand before setting up his own consultancy. Author of A-Z of New Zealand Business Law, Paul has over 20 years of experience as a business owner and consultant. He joined FBA in 2004 and is totally committed to providing excellence in quality and value to our subscribers.
The 12 New Zealand privacy principles that have underpinned our legislation since 1993 have been increased to 13 principles and some of the principles have been changed as follows:
Principle 1: You may now only collect identifying information if it is necessary to meet your objective. So, if you don’t really need a person’s name, contact details or other identifying information, don’t collect it. The goal is to collect and use the least amount of identifying information possible. This is called data minimisation.
Principle 4: You have to ensure that the way the information is collected is fair and not unnecessarily obtrusive in the circumstances, especially when dealing with children and young people.
Principle 12: A new principle has been added to recognise the ease with which information can now be shared across borders. Personal information may only be disclosed to organisations in other countries if:
there are similar protections to those in the New Zealand Privacy Act; or
the receiving organisation agrees to protect the information sufficiently, e.g. using model contract clauses.
Otherwise, the affected individual must be fully informed that the information may not be adequately protected and must expressly authorise the disclosure.
Principle 13 (previously Principle 12): You must take reasonable steps to protect unique identifiers from being misused. This includes names, numbers or other information that can be used to identify an individual.
The Privacy Commissioner’s website now has posters, fact sheets, e-learning modules, videos and other resources to help clarify and simplify the new legislation. See www.privacy.org.nz.
The new Act comes into force on 1 December. If you respect the privacy of the personal information that you hold about individuals, you should have no issue with compliance.
Benefits of working at home
No commuting, saving time and transport costs, while reducing stress.
Instant access to your office. No worries about leaving something at work.
Low overheads, particularly rent.
The business can share some of the costs of running your home, such as telephone, rates and electricity expenses.
You can wear what you like in your own office and save on business clothing.
Many home offices offer more tranquil work environments than industrial or commercial areas.
Technology is making it ever easier for you to operate effectively from home or elsewhere, permitting ever more mobility - office in a car.
You can choose your own hours. For instance, some people prefer working late at night, when the rest of the household is asleep.
Drawbacks and pitfalls
Your office is always with you.
The office space might be inadequate. Poor fit-outs and space problems characterise many home offices. Not everyone can dedicate a room to business or have a separate entrance.
Health and safety responsibilities may be harder to fulfil when you do not have control of the work environment of an employee.
It can be difficult to maintain focus, motivation and disciplined work routines.
Feeling isolated, missing collegial support and brainstorming, resulting in lower motivation and a loss of work discipline.
Fostering a sense of organisational identity and loyalty may need special attention.
The advantage of being close to your children can be offset by the disadvantage of the interruptions. Friends and other family members also need to know that your being at home does not mean they can pop in any time for coffee.
Being a great role model
The consolation of being interrupted by your children is that you have an opportunity to be a great role model to them. They grow up witnessing you as a self-reliant, self-employed business person, growing and developing a business that feeds the family. What better preparation could there be for their own future as possible entrepreneurs? Many parents successfully draw their children into the business as they get older, letting them share business tasks of increasing responsibility.
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