You are either deliberately misrepresenting my argument or I haven't made myself clear. Yes. Those things are problems. I don't disagree they could happen. I disagree on what the appropriate solutions to those problems are.
If there is anything the digital age has demonstrated beyond a doubt, it is that attempting to control information is futile. Go ask the music and movie industries how successful they have been in controlling the flow of the digital information representing their IP.
Jeff's employer wants to fire him because of his sexuality? Jeff's employer is wrong and we should not allow that. Jeff should have cause to sue his employer and win.
A schoolteacher is into BDSM and someone thinks this is a problem for some reason? They are wrong and we should prevent them from taking any action against the schoolteacher.
An AI increases someone's insurance premium because of occasional visits to one bar? This AI sucks and its data model is probably severely broken. A better insurance company with a smarter data model should offer a better deal to that customer.
For anything that is legal but "taboo" without clear evidence that it actually results in a real problem, we need to aggressively prevent people from interfering with other people's lives because of ill-defined feelings they might have about things that in reality don't matter at all. THAT is what is going to solve this problem. Trying to unpour the jug of water that is digital information is destined to fail and a waste of time.
Telling people with unusual but harmless lifestyles that they need to hide and hope that nobody finds out instead taking steps to protect them is wrong.