The US is starting work on new consumer privacy rules. The US Department of Commerce’s National Telecommunications and Information Administration opened a public consultation on a proposed approach to consumer data privacy. The agency said its proposal is "designed to provide high levels of protection for individuals, while giving organizations legal clarity and the flexibility to innovate". The focus is on achieving outcomes, rather than dictating practices, it added.
The NTIA is seeking comment on the following outcomes by 26 October:
- Organizations should be transparent about how they collect, use, share, and store users’ personal information.
- Users should be able to exercise control over the personal information they provide to organizations.
- The collection, use, storage and sharing of personal data should be reasonably minimized in a manner proportional to the scope of privacy risks.
- Organizations should employ security safeguards to protect the data that they collect, store, use, or share.
- Users should be able to reasonably access and correct personal data they have provided.
- Organizations should take steps to manage the risk of disclosure or harmful uses of personal data.
- Organizations should be accountable for the use of personal data that has been collected, maintained or used by its systems.
NTIA also is seeking comment on several high-level goals outlined in the consultation that set the broad outline of the direction that the government should take to achieve US consumer privacy protections. In parallel efforts, the Commerce Department’s National Institute of Standards and Technology is developing a voluntary privacy framework to help organizations manage risk, and the International Trade Administration is working to increase global regulatory harmony.
The NTIA move follows California being the first state to pass significant data protection regulation, echoing the EU's General Data Protection Regulation that took effect in May. Since then several business and industry groups have called for the US to take action, in order to avoid the states passing differing legislation and a clash with the EU rules.
Industry support, Congress active
The industry group USTelecom said it "appreciated the effort by NTIA to advance the privacy conversation", noting that several members of Congress have also introduced, or plan to introduce, privacy legislation. "What we need most is clear and consistent privacy rules that apply equally to all companies that interact with consumers through the internet," the group said.
Verizon also gave its backing to new consumer privacy rules, saying it has "long-supported comprehensive federal privacy legislation". The company said it was "encouraged" that the Senate Commerce Committee is holding the first of several hearings this week on 'Examining Safeguards for Consumer Data Privacy', adding that while "America currently leads the world in innovation, we need to reclaim the thought leadership on policy development for protecting consumers’ data".
