Currently Facebook strips out EXIF data that contains location information in photos posted on Facebook, providing a degree of protection for adoptive families who post photos but need to guard their location.
This feature has not pleased some groups of professional photographers who argue that the feature prevents them from inserting metadata that’s important for their business.
Now, according to photography website PetaPixel it appears a court case in Germany has successfully challenged the policy. The German court ruled that Facebook had breached the copyright of a photographer by automatically stripping out the EXIF data (specifically the IPTC standard used by professional photographers) before displaying his photos. Facebook has not appealed and the ruling is final.
Although the ruling only applies to German copyright law, it’s quite possible that it will lead to global changes to this useful feature. My guess is that stripping location data may eventually become an optional feature that you will need to set in your Facebook privacy settings.