The new law aims to protect the personal information of Canadians

Apr 9, 2014 17:01 GMT  ·  By

In an effort to protect the personal information of Canadian consumers and businesses online, the Digital Privacy Act was introduced on Tuesday in the country’s Parliament. The new law particularly aims at helping those who surf the Web and shop online.

Lawmakers say the changes proposed in the Digital Privacy Act are a step forward in Canada’s digital future, and are a key part of Digital Canada 150, an initiative whose objective is to ensure that Canada takes full advantage of the opportunities of the digital age.

“Canadians need to have confidence that their online transactions are secure, their privacy is protected and their families are safe from online threats. The Digital Privacy Act is an important next step to protect the personal information of Canadians online,” said James Moore, Canada’s minister of industry.

“These changes will inform Canadians when their personal information has been lost, stolen or put at risk, and they will ensure companies that break these rules are punished,” Moore added.

If the Digital Privacy Act passes, organizations will be required to inform their customers if their personal information is lost or stolen. This way, consumers will have time to take steps to protect themselves before their data can be misused.

Companies which suffer data breaches and fail to notify customers will face fines of up to $100,000 (€72,000).

The bill’s supporters also want companies to communicate in clear and simple language how they use the personal information they collect. This is particularly important for vulnerable categories, such as children.

Private sector organizations will have to follow strict rules when it comes to collecting, using and disclosing personal information such as names, age, employment records, medical files and income data.

The way financial institutions and other businesses share data is also targeted. Systems will be put in place to detect financial abuse and attempts to defraud seniors. In the case of youths, their parents will be notified if they’re at risk.

“Elder abuse is an appalling crime and our government is committed to protecting seniors from all forms of abuse,” noted Alice Wong, minister of state (seniors).

“This legislation takes action by strengthening Canada's private sector privacy laws and provides added protections for seniors, especially against financial abuse. This continues our government's hard work to ensure that those who are vulnerable in society are not taken advantage of,” Wong added in a statement for the press.