Australia’s largest pharmacy chain has sparked privacy concerns after rolling out AI-powered cameras worn by staff.
Some Chemist Warehouse stores across Melbourne began trialling the wearable devices on Monday, prompting questions about whether customers’ sensitive medical information could be captured.
In a post on Reddit, a staff member said employees had been asked to assist with a “special AI zone” aimed at improving stock management.
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“This requires at least four separate retail floor members to wear an AI camera around our necks for a minimum of 12 hours a working day,” they wrote.
The employee said they were concerned the device could potentially capture details on patient prescriptions which are visible while they are working.
“As someone who occasionally works on the register, I frequently deal with patient prescriptions and repeats in my view, with full names, addresses and medications of the customers/patients in my view,” they wrote.
“Am I violating people’s rights by wearing this camera and in turn at risk of being in trouble?”
Chemist Warehouse announced its partnership with artificial intelligence company Augmodo in 2024, saying the technology would provide staff with access to “real-time shelf data”.
At the time, managing partner and general manager of IT retail Mark Finocchiaro said the devices would help staff identify products that were out of stock, incorrectly placed or required attention.
“They simply wear the lanyards around their neck and no longer need to spend hours auditing — everything is automatically scanned as they walk the floor, making their role even more valuable,” he said.
“Not only are they helping to provide real-time inventory data but now have more time to help customers.”
The companies launched a pilot program in 2024 and said it delivered “incredible results” within the first month, including a 30 per cent reduction in inventory gaps at participating stores.
The partnership aims to expand to 550 locations by 2027.
Reaction to the trial has been largely critical.
“Will definitely not be shopping there and will tell family too,” one person commented on the online post.
Another questioned whether the technology could be used for purposes beyond stock management, asking if the term was “corporate speak … that translates to facial recognition for anti-theft”.
“Or is it actually to train AI to replace the jobs of the same staff wearing the cameras?” the person also queried.
“This is not the same as a shelf camera in a supermarket. It’s a pharmacy,” said another.
“Staff can easily have prescriptions, repeats, patient names, addresses, Medicare details, medication names, POS screens and private health conversations in view.
“If the camera is worn around the neck for hours, it is very hard to believe it will only ever capture ‘stock management’ data.”
7NEWS.com.au has contacted Chemist Warehouse and Augmodo for comment.