How does the GDPR address automated decision-making?

The General Data Protection Regulation (GDPR) acknowledges the advancements in technology, including automated decision-making processes, and outlines a nuanced approach to these activities. It does not outright prohibit all automated decision-making; rather, it establishes a framework within which such practices can occur under specific conditions and safeguards.

Under GDPR, particularly Article 22, individuals have the right not to be subjected to decisions based solely on automated processing that produce legal effects concerning them or similarly significantly affect them, unless certain criteria are met. These criteria include the necessity of the decision for a contract, the explicit consent of the individual, or when authorized by law which also lays down suitable measures to protect the individual’s rights, freedoms, and legitimate interests.

This means that while automated decisions can be made, they must adhere to specific regulations that are designed to protect individuals from potential negative outcomes. Examples of safeguards could include the right to obtain human intervention, express one's point of view, or contest the decision, thus ensuring a balance between the use of technology and the protection of personal rights.

This multi-faceted approach ensures that while automated decision-making is allowed, it is done responsibly, with respect for human dignity and fairness, thus highlighting the careful balance GDPR seeks to maintain between innovation and individual rights.