The General Data Protection Regulation (GDPR) stands as a cornerstone of data protection in the European Union (EU) and the European Economic Area (EEA). As a far-reaching regulation, the GDPR sets stringent rules on the collection, storage, and usage of personal data by any organization. Just a couple of months ago, the perennially tardy EU began enforcing this regulation. It applies to the EEA, including all 27 EU member states plus Iceland, Liechtenstein, and Norway.
This data protection regulation aims to protect and regulate the processing of personal data for EU and EEA citizens. It applies to both data controllers, who determine the purposes and means of processing personal data, and data processors, who process data on behalf of controllers. The regulation requires that any processing of data must follow six key principles, focusing on fairness, transparency, and accountability.
The new regulation puts a lot of responsibilities on organizations that collect personal data. Prioritizing and institutionalizing data protection by design and default is critical. That translates to the idea that you need to bake privacy into the design of your systems and processes from the ground up. First, organizations should collect only the data they need to serve explicit and limited purposes. Third, they should keep this data only for as long as necessary.
Arguably one of the most important elements of the GDPR is the emphasis on the rights of data subjects. People should be able to easily access the data collected about them. They are allowed to request corrections for inaccuracies and in some cases, require erasure of their data. They have the right to limit processing, to oppose processing, and to get their data in a portable fashion. Organizations need to be upfront with the public about their data collection practices. They must be prepared to start effectively responding to the requests that data subjects make.
To strengthen accountability and compliance, the GDPR mandates that data controllers designate a Data Protection Officer (DPO), under certain conditions. A data protection officer (DPO) is responsible for the data protection strategy and its execution. They act as the central point of communication between those whose data is being processed and any supervisory authorities. The DPO should be leading by example and encouraging a strong organizational data protection culture. They’re responsible for helping the organization stay compliant with the GDPR at all times, too.
In the case of a data breach, the GDPR establishes burdensome notification procedures. Under the GDPR, data controllers have the obligation to notify the appropriate supervisory authority of a data breach within 72 hours of becoming aware of it. This requirement is true unless the breach is determined not to risk harming people’s rights and freedoms. If the breach is likely to result in a high risk, the data controller needs to move fast. They need to provide early warning to impacted data subjects within 72 hours.
It includes rules to cover the problem of international data transfers. Data controllers are responsible for ensuring personal data remains protected when transferred outside the EU and EEA. They’ve got to touch the standards of the GDPR’s privacy by protection scheme. You can do this in a number of ways. These are state aid decisions by the European Commission, standard contractual clauses, and binding corporate rules.
Organizations need to take privacy seriously and adopt the right technical and organizational measures to protect personal data. These measures must be sufficient to protect information from unlawful access, inadvertent loss, destruction, or damage. Conducting regular risk assessments and security audits helps organizations identify vulnerabilities and ensure that security measures are working.
The GDPR gives supervisory authorities the authority to impose heavy fines for violations. These punitive fines may reach €20 million or 4% of the organization’s worldwide annual turnover, whichever is greater. Organizations might be hit with million-dollar penalties. Their third major prospect and more immediate concern is facing harsh remedies such as data processing injunctions or mandates to compensate impacted persons.
