Preparing for the Next Wave of Privacy Reform: What Organisations Need to Know About the Updated APP Guidelines

We are not in the age of compliance anymore. We are in the age of accountability.

The Office of the Australian Information Commissioner (OAIC) has recently updated several key chapters of the Australian Privacy Principles (APP) Guidelines, reflecting major reforms under the Privacy and Other Legislation Amendment Act 2024. These updates signal a sharp turn in the regulatory landscape, especially for organisations handling sensitive or high-risk personal information.

The revisions affect Chapters 1 (Open and Transparent Management), 8 (Cross-border Disclosure), and 11 (Security of Personal Information) of the APP Guidelines, and they are not cosmetic tweaks. They redefine expectations. They clarify obligations. They raise the bar.

Here’s what has changed and why your organisation should pay attention.

APP 11: Security of Personal Information

The updated guidance for APP 11 now explicitly states that "reasonable steps" to secure personal information include technical and organisational measures (TOMs). In other words, it’s no longer enough to say you take security seriously. You need to demonstrate it.

This includes:

• Implementing layered security controls (e.g. encryption, access controls, logging)

• Ensuring governance structures, roles, and responsibilities are clearly defined

• Developing policies for data retention, destruction, and de-identification

• Conducting regular audits and breach simulations

This update aligns with global standards like ISO/IEC 27001 and the NIST Cybersecurity Framework. But for Australian organisations, especially in critical sectors like energy, health, finance, and defence, it pushes them to uplift from checklists to capability. Now we cannot stress enough, the standards are not going to give you a full coverage of controls. A Threat and Risk Assessment, performed adversarially, is the only way to understand the real risks.

Key takeaway: If your organisation lacks a formal information lifecycle policy, from collection to destruction, you are exposed.

APP 8: Cross-Border Disclosure of Personal Information

Data does not respect borders, and neither should your privacy obligations.

Under the revised APP 8, organisations must take reasonable steps to ensure any overseas recipient of personal information handles that data in accordance with the APPs. The burden of proof lies with the Australian entity.

There is also a new exception that allows cross-border disclosure under stricter conditions, but most businesses should rely on and focus on governance and not rely on exceptions.

This means:

• Reviewing and updating contracts with offshore vendors

• Confirming if the recipient’s data protection laws are substantially like Australia’s

• Ensuring you obtain meaningful and informed consent where required

• Maintaining a public list of overseas disclosures in your privacy policy (APP 1.4(f))

Key takeaway: Outsourcing doesn’t outsource accountability. You are still responsible for what happens to personal information, even in another jurisdiction.

APP 1: Transparency and Automated Decision-Making (from December 2026)

The biggest forward-facing change is the requirement to disclose automated decision-making (ADM) activities in your privacy policy from 10^th of December 2026.

This applies to decisions that could significantly affect the rights or interests of individuals. Think AI-driven job screening, credit scoring, service denial, insurance premium calculation.

Organisations will need to:

• Identify systems or services using ADM

• Review whether the decisions significantly affect individuals

• Update privacy policies to explain the use of ADM

• Prepare internal guidance on contestability and human oversight

It also links directly to AI ethics, bias reduction, explainability, and responsible AI governance. If you don't understand how your algorithms make decisions today, you have two years to catch up.

Key takeaway: Automated decisions must be governed with the same rigour as any other organisational decision. This is a matter for leadership and the board.

What This Means for Your Organisation

This is more than being compliant with the Privacy Act. It is about showing maturity, building trust, and being prepared for regulatory scrutiny and customer expectation.

At Shimazaki Sentinel, we see these updates as part of a broader pattern:

• Rising expectations for accountability over intention

• A shift from reactive compliance to proactive risk governance

• An emphasis on global interoperability with GDPR and emerging AI regulations

Your Action Plan: Five Immediate Steps

1. Conduct a Privacy Gap Assessment -Review your current practices against the new APP interpretations, especially in Chapters 1, 8, and 11.

2. Review Third-Party and Offshore Vendor Agreements - Ensure you have the right clauses and controls to comply with APP 8.

3. Update Your Privacy Policy - Make sure your privacy policy reflects overseas disclosures (APP 1.4(f)) and prepare for ADM clauses.

4. Build a Record of ADM Usage - Map systems using automated logic and determine their impact on individuals.

5. Establish a Breach Response Protocol with ADM Implications - Understand how ADM systems could exacerbate or be impacted by data breaches.

Final Thoughts: Privacy Is Now a Strategic Risk Issue

These aren’t checkbox exercises. They’re an evolution of how privacy, security, AI, and risk intersect. For leadership teams, the question is no longer “Are we compliant?” - it’s “Are we demonstrating accountability, trustworthiness, and operational readiness in the face of rising complexity?”

If your organisation operates in high-risk environments or sectors facing regulatory attention, you can’t afford to wait.

Let’s Talk

If you want to understand what these changes mean for your business, from policy to practice to Board assurance, let’s have the conversation. Privacy is here to stay and every organisation will be required to do something about it.

Disclaimer: This blog is for informational purposes only and does not constitute legal or advisory services. Please seek specific advice relevant to your circumstances. © 2025 Shimazaki Sentinel.