GDPR (general data protection regulation), a privacy and security law, bestows an obligation to organizations anywhere in the world that handle data regarding people residing in the EU (European Union). Considered the strictest privacy and security law on the planet, GDPR enhances individuals' control over their data and simplifies the regulatory ecosystems, especially for international businesses.
The Council of the European Union and the European Parliament jointly adopted this framework on April 14, 2016, and it became enforceable from May 25, 2018. GDPR imposes heavy penalties, with some reported to be in the tens of millions of euros, for all who violate its privacy and security rules.
There are seven key principles of GDPR. They govern how individuals' data is handled. Still, they are not viewed as hard and fast rules. Instead, they provide an overarching framework designed to spell out GDPR's broader purposes.
The first principle is lawfulness, transparency, and fairness. When processing data, organizations should have valid reasons for doing so. Lawfulness requires that data be processed for a variety of specific reasons. These include users granting their consent, making good on a contract, fulfilling a legal obligation, and protecting a person's vital interests, among others. Transparency entails honesty and openness regarding an organization, who they are, and why they are processing data. Fairness is linked to transparency and requires that no entity should withhold information about its processing of data.
Purpose limitation sets boundaries that limit data processing for specific purposes only. The data collected should only be used for explicit and legitimate purposes. Organizations should communicate these purposes to individuals. If these companies want to use the data for purposes other than those originally communicated, they must seek consent anew.
Data minimization involves collecting only the data necessary to accomplish specific objectives. For instance, organizations should collect only the information required for email distribution when collecting subscribers for an email newsletter. They should avoid collecting non-essential personal data such as phone numbers or home addresses. Notably, one should justify the amount of data collected.
Accuracy spells out that it is one's responsibility to ensure the accuracy of the data they collect and store. They must monitor the data and correct, update, or delete any incorrect or incomplete data that they are storing. They should also maintain a regular audit calendar to double-check the stored data's cleanliness.
With storage limitation, GDPR requires one to justify the length of time they will keep each data piece that they store. Establishing data retention periods is an effective way to meet this storage limitation regulation. Setting time limits is important, after which any data not in active use should be anonymized. Documenting this process is crucial.
GDPR also calls for integrity and confidentiality. Data that is collected and stored should be kept safe from internal and external threats. This involves meticulous planning and diligence. Data should also be protected from damage, destruction, and accidental loss. Technical, administrative and physical controls must be in place to protect personal data at rest and in transit. In turn, this protects clients' identities. Additionally, organizations should strive to get official certification such as ISO 27001 to prove their commitment to cyber threat protection.
Last, organizations should be accountable. GDPR regulators know that companies may state their commitment to the regulations, but fail to uphold them. Appropriate measures and records are proof of compliance with data processing principles. Documentation is key, since it will provide evidence in the event authorities ask for it. It creates an audit trail that an organization can follow to prove adherence to the rules.
