I don't necessarily disagree. But just a note, that one little "hacky" thing they could do if your users are concerned about privacy is to allow them to crop their own images, and basically drag around most of their image.
The result of that manipulation would clear any EXIF data other than the data we explicitly store and display in the "Information" tab (that's cached during upload) so anyone downloading the image will only see basic EXIF such as the file name and resolution.
A slightly more automatic method of achieving this is if you impose a max image dimension. If the image is a large one (which most non-resized, camera images are) then that resize process will also clear the EXIF data automatically.
I'll have to remind myself as to whether use of ImageMagick may affect whether the EXIF is removed or not in that case, but certainly if a user themselves crops the image then that uses GD and will clear the EXIF data.
In my view keeping original photos exactly as they were originally created and uploaded and simply keeping them safely stored so they act as backups for the photographer is one of the greatest benefits online gallery systems can offer.
An option to set what EXIF info the system displays is neat... I thought you perhaps already had that though. If a site somehow feels photos should not display their GPS location then they perhaps simply need the ability to not choose to display those fields from the EXIF. With many photos you can of course tell from the photo where it was taken anyway.
What EXIF info is stored in the original photo when it is taken and when it is uploaded and stored is up to the uploader/owner of the photo isn't it.