May 14, 1999

Ambassador David L. Aaron
International Trade Administration
14th and Constitution Avenue, N.W.
Washington, D.C. 20230

Attention: Mr. Eric Fredell, Task Force on Electronic Commerce

RE: Proposed International "Safe Harbor" Privacy Principles

Dear Ambassador Aaron:

The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), on behalf of the fourteen million working men and women of our seventy affiliated unions, are deeply concerned with the shortcomings of the "Safe Harbor" proposal -- devised by the U.S. International Trade Administration in response to the European Union's Data Directive.

We are opposed to a totally inadequate policy like the "Safe Harbor" proposal that would allow firms and insurers to self-certify privacy policies in lieu of the adoption of strong legal safeguards for all Americans.

In particular, this proposal endangers efforts currently underway in Congress to enact strong privacy laws to protect consumers. The "Safe Harbor" proposal would also jeopardize congressional attempts to pass strong medical records privacy rights for individuals. There is broad recognition that, with respect to information about an individual's medical care and health status, the traditional right of confidentiality over these records is at risk. This is especially true in light of the rapidly expanding ability to transfer such data electronically.

The information handling practices of employers and insurers, on a wide range of issues affecting workers -- including workers' compensation, is dangerously unregulated. There is little, if any, privacy protection for workers injured on the job -- a situation that would not be tolerated in the European Union or among other industrialized democracies.

We urge the Department of Commerce to reject any approach to concluding an agreement with the European Union privacy directive that would permit U.S. companies and insurers to "self-certify" their privacy policies. We insist that American workers and consumers be afforded privacy protections, including legal rights, that are at least as high as those enjoyed by workers and consumers in Europe.

Sincerely,

James N. Ellenberger
Assistant Director
Department of Occupational Safety and Health

JNE/cjm