The European Centre for Digital Rights, widely known as Noyb, announced on Tuesday that it has lodged five legal complaints across Europe against the San Francisco-based startup Scale AI. The action targets the company's Outlier platform, which employs more than 900,000 freelancers worldwide to train and refine artificial intelligence models for clients including Meta, OpenAI, Google, and the US government.
Noyb's complaints, filed in Austria (two), France, the Netherlands, and Italy, allege that Outlier subjects its workers to constant surveillance that breaches the EU's General Data Protection Regulation (GDPR). The organisation argues that the platform's tracking practices go far beyond what is necessary for legitimate work purposes, effectively handing personal data to third-party advertisers and tech giants.
Invasive tracking and biometric checks
According to Noyb, Outlier installs trackers from companies such as TikTok, LinkedIn, and Facebook on workers' devices while they are logged in. These trackers collect IP addresses, contact details, and other data that can be used for targeted advertising and profiling. “Such constant and extensive tracking while working really goes against all reasonable expectations. Why should LinkedIn or Facebook know which tasks you're working on?” said Lisa Steinfeld Leiser, data protection lawyer at Noyb.
The complaints also highlight the platform's mandatory biometric verification process, carried out by a third-party firm called Persona. Workers are required to submit video recordings of their faces and upload identification documents, often repeatedly. Noyb argues that this invasive procedure, combined with the lack of protections afforded by the freelance contract model, leaves workers with little choice but to surrender their personal data to earn a living.
Scale AI's Outlier operates on a gig-economy model similar to that of Uber or food delivery services, recruiting freelancers and subject-matter experts to evaluate and correct AI responses. Noyb contends that these workers are “effectively giving their expertise to US Big Tech companies” while being subjected to surveillance that would be unacceptable in a traditional workplace.
The timing of the complaints is significant. The EU's AI Office has recently opened investigations into OpenAI and Anthropic, signalling a tougher stance on AI governance. Meanwhile, in the United States, President Donald Trump has signed an agreement with the six largest American AI firms, allowing them to self-regulate—a stark contrast to the EU's more prescriptive approach. This regulatory divergence is likely to intensify as European authorities seek to assert their data protection standards over American tech giants.
Noyb's action comes amid broader European concerns about the security and resilience of AI infrastructure. As a UN adviser recently urged Europe to rethink AI data centre security, the continent is grappling with how to balance innovation with fundamental rights. The complaints against Scale AI could set a precedent for how gig-economy platforms in the AI sector are held accountable under GDPR.
Scale AI has not yet publicly responded to the complaints. If the cases proceed, they could lead to fines and orders to change the platform's data handling practices. For now, Noyb is urging European regulators to act swiftly to protect the rights of the thousands of workers who contribute to the AI boom.
