Foodstuffs have identified that facial recognition technology (FRT) is one of the only tools that help proactively target and reduce in-store criminal behaviour. Still, Consumer NZ has significant privacy and ethical concerns for customers. Similar concerns have been echoed across the ditch by Consumer’s sister organisation Choice, resulting in Kmart, Bunnings and The Good Guys all pausing the use of the technology.
“We know Foodstuffs has been questioned about its use of facial recognition technology by the media in 2018 and 2020. Now we have uncovered the scale of its use in stores, we see it is being referred to by Foodstuffs as ‘a trial’. Four years is a very long trial period,” said Jon Duffy, Consumer Chief Executive.
“We are seriously concerned that New Zealanders are having their sensitive biometric information collected and analysed while they go about their shopping. These shoppers may not know it is happening or understand the potential consequences of their data being collected in this way.”
Based on Consumer NZ’s inquiries, no other major retailer is currently using RFT.
“We question whether the collection of customers’ biometric data is proportionate to the risk Foodstuffs is trying to address. The use of FRT raises significant privacy and ethical concerns. Aside from our sensitive personal information being captured without our knowledge, we also need to consider how our biometric data is stored once it is collected by a retailer. No one is immune from cybercrime, and retailers must ensure their security is up to scratch to protect consumers from identity theft.”
“There are significant issues with the impact of FRT usage on different ethnic groups. We’re in the earliest phases of artificial intelligence, and there are concerns around the accuracies of these systems, particularly in relation to how accurate it is when applied to certain groups in our society.”
Recent research from the Office of the Privacy Commissioner found that 49 percent of adults in New Zealand and 51 percent of Māori adults were concerned about the use of RFT in public spaces. At the moment, the only way for a consumer to know whether their biometric data has been collected by Foodstuffs is to make a request for the data under the Privacy Act.
“Shoppers deserve to know if their images are being captured as they go about their shopping. We know consumers have limited choices in where they shop. Consumer NZ questions the validity of using this technology at an essential shopping outlet, like a supermarket.”
