Why the Statutory Tort Changes Workplace Privacy Law
For years, the employee records exemption in section 7B(3) of the Privacy Act 1988 has shielded employers from the Australian Privacy Principles when handling employee records in connection with the employment relationship. This exemption is broad. It covers health records, leave records, performance appraisals, disciplinary records, and virtually any personal information collected in the course of employment. The practical effect has been that employees had almost no privacy rights under Commonwealth law against their own employer.
Schedule 2 of the Privacy Act, which establishes the statutory tort for serious invasion of privacy, is a separate regime. It is not subject to the employee records exemption. The tort applies to any person, corporation, or government body that commits a serious, intentional or reckless invasion of another individual's privacy. This includes employers of all sizes, from large corporations to small businesses with an annual turnover of $3 million or less (who are generally exempt from the APPs).
How State Surveillance Laws Interact With the Statutory Tort
State and territory surveillance legislation creates criminal offences for certain types of surveillance. These laws do not provide a civil remedy. You cannot sue your employer under the Surveillance Devices Act. However, a breach of state surveillance law may strengthen a claim under the Commonwealth statutory tort by demonstrating that the surveillance was unlawful, covert, or disproportionate.
In Victoria, the Surveillance Devices Act 1999 permits one-party consent recording of conversations. Optical surveillance offences apply only to activities inside a building (not outdoor areas). Tracking devices require consent. Employers who install hidden cameras in offices or record conversations without being a party to them may commit criminal offences under Victorian law, and the same conduct may ground a civil claim under the statutory tort.
In New South Wales, the Workplace Surveillance Act 2005 specifically regulates employer surveillance. It requires 14 days' written notice before commencing camera, computer, or tracking surveillance. Covert surveillance is only permitted with a court order (a covert surveillance authority). An employer who fails to give notice, or who conducts covert surveillance without a court order, breaches NSW law. This breach is strong evidence of an invasion of privacy under the Commonwealth tort.
In Queensland, there is no legislation regulating cameras, tracking devices, or computer surveillance in the civilian context. The Invasion of Privacy Act 1971 covers only listening devices. This means that, until the commencement of the statutory tort on 10 June 2025, an employer in Queensland could install hidden cameras in an office and face no civil or criminal consequence under state law. The Commonwealth tort now fills that gap.
What Employers Should Know
We also act for employers and businesses facing claims under the statutory tort. If you are an employer who has been served with a claim or a pre-action demand, or who is concerned about the legality of existing monitoring practices, the position is not necessarily as adverse as it may appear. Workplace monitoring that is disclosed, proportionate, and conducted for a legitimate business purpose may be defended on grounds of implied consent, lawful authority, or because the employee did not have a reasonable expectation of privacy in the circumstances. The seriousness threshold in clause 7(1)(d) also operates as a filter: minor or incidental invasions are not actionable.
For further information about defending privacy claims, including the procedural advantages of seeking a pre-trial exemption determination, contact us for a confidential initial assessment.
Where workplace privacy conduct also involves damage to reputation (for example, disclosure of false information about an employee's conduct or health), there may be an overlapping defamation claim. Our practice focuses on both privacy and defamation law. See defamationlawyer.au for more information about defamation proceedings.