CPSU to Propose Data Trusts for Australian AI Inquiry

The union will testify on 31 October 2026 at the 11th federal hearing regarding sovereign artificial intelligence capabilities.

Updated on Oct. 29, 2026 in Artificial Intelligence

CPSU to Propose Data Trusts for Australian AI Inquiry

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Should the government prioritize safety measures over rapid implementation when introducing AI to public services?

The Community and Public Service Union is set to present its recommendations to the federal AI inquiry on 31 October 2026. The union intends to advocate for sovereign AI infrastructure and a new system of data trusts to manage information used for model training.

Why it matters

The proposal aims to ensure that Australian data remains onshore while creating mechanisms for creators to be remunerated for their contributions to AI models. Without these safeguards, the union warns that public service costs could rise without yielding a reasonable return on investment.

The union is advocating for data trusts as a technical standard to pool individual rights and control model training access. This follows reports of potential savings from automated delivery systems in the United Kingdom, though the specific Australian deployment remains pending.

The players

Community and Public Service Union

This organisation represents public sector employees and is actively shaping policy recommendations for artificial intelligence adoption.

Rebecca Fawcett

She serves as the leader of the Community and Public Service Union and is the primary advocate for the proposed data trust model.

Australian Signals Directorate

This national agency is responsible for foreign signals intelligence and is the primary authority on Australian cybersecurity and electronic warfare.

The details

Rebecca Fawcett, leader of the Community and Public Service Union, will testify at the upcoming hearing to push for sovereign AI capabilities that keep Australian data within national borders. This initiative coincides with urgent warnings from the Australian Signals Directorate regarding the increasing risk of AI-driven cyber attacks on government systems.

September 2026: Government departments provided testimony to the federal AI inquiry.
27 October 2026: The Australian Signals Directorate warned of AI-driven cyber threats.
31 October 2026: Rebecca Fawcett will present testimony at the 11th federal hearing.
Coming decade: Australian government agencies will undergo system upgrades to improve cybersecurity.

The Tech Race

The push for sovereign AI capability marks a shift toward domestic control as the nation responds to the Australian Signals Directorate's cybersecurity threat advisories. This strategy aims to replace reliance on foreign-hosted models with secure, locally-managed data infrastructure.

The proposed data trusts could change how individuals monetise their own information used by commercial AI models. Residents may soon see new digital protections as government agencies begin long-term upgrades to safeguard systems against emerging cyber threats.

The takeaway

Establishing sovereign AI infrastructure is considered essential for protecting government data integrity and national security. Experts suggest that creating clear rules for data monetisation will be a critical step in managing the transition to automated public services.