Privacy Commissioner issues Compliance Notice to Oranga Tamariki

Source: Office of the Privacy Commissioner

A compliance notice has been issued to Oranga Tamariki for failing to comply with the requirements of the Privacy Act. The Privacy Commissioner has also taken the step of publicly releasing the Compliance Notice itself.
Privacy Commissioner Michael Webster says while Oranga Tamariki has taken positive steps to improve its privacy practices, considerably more improvement is needed.
“Oranga Tamariki has one of the most important roles in New Zealand – to help safeguard the wellbeing of our children, particularly those children in their care. Improving its privacy practices will contribute to the safety and wellbeing of children, their whānau, caregivers, and foster parents
Transparency about the nature of the Compliance Notice requirements is in the public interest and is an important accountability mechanism. We all have a stake in ensuring Oranga Tamariki improves its privacy performance.”
The notice has been issued in response to a series of privacy breaches reported to the Commissioner that have caused serious harm to whānau and tamariki. It relates to the storage and security of personal information, and its unauthorised disclosure.
Under the compliance notice, Oranga Tamariki will need to make privacy improvements including improving staff skills and capability, and strengthening three areas:
1. Information access settings
2. Oversight of service providers
3. Accountability and reporting of privacy incidents.
These improvements will need to be completed by 31 March 2026.
“I consider the notifiable privacy breaches reported to my Office and the systemic privacy issues identified in an independent review to be significant. This is because the sensitivity of the personal information involved and the vulnerability of the individuals the information relates to is at the high end of seriousness”, Mr Webster says.
“Oranga Tamariki currently doesn’t have sufficiently robust systems and practices in place to appropriately protect the personal information it holds, as required under the Privacy Act, and there is ongoing likelihood of further privacy breaches.”
OPC began an investigation into the privacy practices and culture at Oranga Tamariki in 2022, and in May 2023 recommended it commission an independent review of its privacy practice and culture.
“That report was completed in April 2024 and confirmed our concerns about systemic failures in protecting sensitive personal information that Oranga Tamariki holds.
“In response to that review, Oranga Tamariki has taken steps to improve their privacy practices, including undertaking a privacy improvement plan, and this is a positive move towards helping keep sensitive information about the children they care for safe”.
“This is a good step forward. However, there is still a considerable amount of work for Oranga Tamariki to do to improve their privacy practices that goes beyond this plan to address the ongoing risk of further serious privacy breaches resulting in harm to individuals.”
Issuing a Compliance Notice, and publicly releasing it, will ensure Oranga Tamariki takes the steps necessary. “We are all invested in the safety of the children in Oranga Tamariki’s care, and keeping sensitive information about children safe is critical.”
Notes

Banking Sector – Kiwibank introduces new credit card benefits as Airpoints partnership ends

Source: Kiwibank

  • Kiwibank and Air New Zealand decide to end Airpoints partnership.
  • Regulatory and economic impacts affecting the value and viability of the Kiwibank Airpoints credit card programme.
  • Kiwibank launch enhanced Platinum Visa card with domestic and overseas travel insurance to better meet the needs of more customers.

Over the past decade, the regulatory and economic landscape has changed significantly. Increased costs and changes to interchange fee regulations have impacted the value and viability of the Kiwibank Airpoints credit card reward programme, with further regulatory changes expected.

Mark Stephen, Kiwibank’s Chief Customer Officer – Retail, says:

“Kiwibank prioritises investment that provides value to the greatest number of customers. After a thorough review, we concluded that these products are no longer the most effective way to achieve this.”

“The alternative to closing the products would be to reduce the rate at which points are earned or to pass on increased costs through higher interest rates – options we believe are neither fair nor in customers’ best interests, as it would mean that customers who do not repay their balance in full every month would further subsidise rewards for those who do.

“Based on customer feedback about what they would value in a new card, our enhanced Platinum Visa now offers a range of benefits that reflect this, including a lower interest rate and more interest-free days. For those who enjoy travelling, the card offers international travel insurance and new domestic travel insurance benefits[1].

“We also offer a Zero Visa card, with no annual fee and a competitive 12.90% p.a. interest rate, designed for Kiwi seeking cost-effective banking solutions,” says Mr. Stephen.

To support customers, Kiwibank is providing as much notice as possible. Customers can continue to earn Airpoints until 31 October, and for continuity, customers will move to a Platinum Visa card automatically.

Notes about interchange fees:

In 2022, the Commerce Commission introduced new pricing standards under the Retail Payment Systems Act to reduce interchange fees for transactions. While some of the increased costs were passed on to cardholders, a significant portion was covered by the card issuers.

The Commerce Commission has proposed further reductions to interchange fees and has confirmed their decision will be communicated by 31 July, with implementation on 1 December for Retail Credit or Debit cards issued in New Zealand (and 1 April 2026 for any other card types brought into scope).
Kiwibank supports the goal of the Retail Payment Systems Act to promote competition and efficiency. However, lowering interchange fees as proposed could further reduce the variety of payment options available to consumers and might lead to a less efficient payment system, contrary to the Act's goals.
The proposed interchange fee cap could significantly affect service offerings, especially credit card rewards programmes, which the Commerce Commission has acknowledged as an outcome.

The proposed interchange fee caps also lack sufficient evidence. The Commerce Commission's Draft Decision relies on fee caps from larger regions like Australia, the EU, and the UK. These larger markets benefit from economies of scale, making their costs lower per transaction. Therefore, interchange fees in New Zealand should be higher than in those jurisdictions.

About Kiwibank

Kiwibank is a Purpose-led organisation that has modern, Kiwi values at heart and keeps Kiwi money where it belongs – right here in New Zealand. As a Kiwi bank, with more than a million customers, our trusted experts are focused on supporting Kiwi with their home ownership aspirations and backing local business ambitions, so together we can thrive here in Aotearoa and on the world stage. Kiwibank is the #1 bank in Kantar’s 2024 Corporate Reputation Index and the only bank in the top 20. To find out more about Kiwibank visit www.kiwibank.co.nz