Privacy case highlights risk of acting on incomplete allegations

A recent Human Rights Review Tribunal decision is a useful reminder that employers and other agencies must take care when handling complaints about employees, even where urgent safety concerns are involved.
What happened?
In NJK v Civil Aviation Authority of New Zealand (CAA), the CAA received an allegation that a commercial pilot had been drinking shortly before an international flight. The CAA quickly passed that information to the Australian aviation regulator, which led to the pilot being temporarily stood down and required to undergo a medical assessment.
The allegation was later shown to be false. The Tribunal found the CAA had disclosed incomplete and misleading information and had not taken reasonable steps to ensure the information was accurate, complete and not misleading before using or disclosing it.
The Tribunal also found the CAA was not justified in withholding the informant’s identity in the circumstances, particularly given evidence suggesting the complaint was vexatious and made using a false identity.
Outcome
The CAA was ordered to provide unredacted information to the pilot and pay $19,000 in compensation, made up of $7,000 for loss of a benefit and $12,000 for injury to feelings.
Key message for employers
Urgency does not remove privacy obligations. Before acting on or sharing allegations about an employee, employers should check that the information is accurate, complete and fairly presented. Partial or misleading disclosures can create significant privacy and employment risks.
Employers should also ensure they have a fit-for-purpose privacy policy, a Privacy Officer, and managers who understand how privacy duties apply in day-to-day decision-making.
Need to review your privacy policy, or don’t have one in place? Send us your current policy and we can provide a fixed price to update it. Alternatively, our best practice Privacy Policy is available for $500 plus GST. We can also provide bespoke privacy training for managers.
Disclaimer: We remind you that while this article provides commentary on employment law, health and safety and immigration topics, it should not be used as a substitute for legal or professional advice for specific situations. Please seek legal advice from your lawyer for any questions specific to your workplace.
