Labor rejects standalone AI legislation as part of its new AI policy framework unveiled in late 2025, signaling a strategic approach toward responsibly unlocking public and private data to accelerate AI adoption and innovation. The government’s plan focuses on maximizing the benefits of AI while ensuring ethical governance and transparency in data usage across sectors.
Labor rejects standalone AI legislation while focusing on data unlocking and ethical AI governance
Instead of pushing for a separate AI law, Labor is advancing a broader AI policy framework called the APS AI Plan that integrates AI governance within existing regulations. This approach emphasizes unlocking data held by the public and private sectors to enable AI applications while safeguarding privacy and promoting transparency. The plan includes reviewing data classification and access rules to facilitate secure data sharing, which experts say could exponentially increase AI utility in government services and industry.
The APS AI Plan prioritizes AI safety, ethics, and leadership training across the Australian Public Service to ensure AI is adopted responsibly. Minister Katy Gallagher highlighted that this comprehensive strategy balances innovation with regulation by fostering transparent AI use and collaborative governance structures.
Unlocking public and private data: a cornerstone of AI innovation
Central to Labor’s vision is the unlocking of public and private data, seen as a crucial step for AI to reach its full potential. By easing access restrictions to valuable datasets while maintaining strict privacy protocols, Labor aims to foster AI breakthroughs in areas such as healthcare, environmental management, and economic forecasting.
This data unlocking effort is designed to encourage responsible data sharing, supported by clear governance frameworks and ethical guidelines. It also addresses industry and public concerns regarding privacy, consent, and algorithmic explainability, which are critical in building trust in AI technologies.
AI governance over standalone laws: industry and international perspectives
Labor’s rejection of standalone AI legislation reflects a growing trend among policymakers and industry leaders who view integrated AI governance mechanisms as more effective than isolated laws. Tech companies, including Google, have warned against burdensome standalone AI regulations that could stifle innovation and complicate compliance.
Internationally, governments like the UK Labour administration are also favoring statutory codes of practice and ethical frameworks over sweeping standalone AI bills. This aligns with Labor’s focus on responsible AI adoption governed by existing laws enhanced with sector-specific AI policies.
Embracing AI education and leadership for a responsible AI future
Complementing the regulatory approach, Labor’s AI policy includes initiatives focused on AI education, leadership development, and the establishment of governance bodies within public sectors. These measures are crucial for building capacity and ensuring AI is implemented ethically and efficiently.
The government’s holistic plan aims to position Australia as a leader in AI innovation while maintaining public trust through transparency, accountability, and ethical AI use. This balanced strategy addresses AI’s challenges and opportunities without resorting to restrictive legislation.
For further insights on AI policy and education initiatives, explore our AI education resources.
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