EU privacy advocates accuse US data annotation firm of snooping on contractors
Noyb files five complaints in four member states over alleged tracking of workers on Scale AI's Outlier platform
US data annotation firm Scale AI has come under fire from five European privacy advocates accusing it of unlawfully monitoring contractors. The complaints, filed in France, Italy, the Netherlands, and Austria, allege that Scale violates the EU's General Data Protection Regulation (GDPR) by tracking work done by contractors on its Outlier AI platform.
These contractors perform tasks like labeling data and evaluating AI responses to improve AI models. Companies such as OpenAI, xAI, Anthropic, and the US government are among Scale's customers.
The allegations echo similar concerns raised against other US tech firms since the GDPR's implementation in 2018. Scale is accused of conducting extensive identity verification, tracking worker activity, and transmitting data to third-party services like LinkedIn, TikTok, and Facebook. Privacy group noyb argues that this constant surveillance violates GDPR principles of data minimization and the right to data access.
Noyb's lawyers claim Scale lacks a legal basis for installing tracking software on contractors' devices and that the company's practices could lead to targeted advertising. The group has filed complaints against Scale, requesting a full investigation and potential fines. Scale denies the allegations, stating that its practices are disclosed to contractors and that it uses standard tools to verify identities and prevent fraud.
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