What is GDPR?

The General Data Protection Regulation (GDPR) is a data privacy law enacted by the European Union (EU) that came into effect on May 25, 2018.

The regulation is designed to give individuals greater control over their personal data and to harmonize data protection laws across the EU member states. GDPR applies to any organization that processes the personal data of individuals residing in the EU, regardless of where the organization is located.

The regulation imposes strict guidelines on how personal data is collected, processed, stored, and shared.

GDPR was introduced in response to growing concerns about data privacy and the misuse of personal information. It aims to protect individuals’ rights and ensure that businesses handle personal data responsibly and transparently.

Non-compliance with GDPR can result in severe penalties, including fines of up to €20 million or 4% of an organization’s global annual revenue, whichever is higher.

Key Principles of GDPR

GDPR is built on several key principles that guide how organizations should handle personal data:

• Lawfulness, Fairness, and Transparency: Organizations must process personal data in a lawful, fair, and transparent manner. They must inform individuals about how their data is being used and ensure that data processing is conducted in accordance with the law.
• Purpose Limitation: Personal data must be collected for specific, explicit, and legitimate purposes. It should not be processed further in a way that is incompatible with those purposes.
• Data Minimization: Organizations should only collect personal data that is necessary for the intended purpose. Data collection should be limited to what is relevant and adequate.
• Accuracy: Personal data must be accurate and kept up to date. Organizations should take reasonable steps to ensure that inaccurate data is corrected or deleted without delay.
• Storage Limitation: Personal data should not be kept for longer than necessary. Organizations must establish data retention policies and securely delete data that is no longer needed.
• Integrity and Confidentiality: Personal data must be processed in a way that ensures its security. Organizations should implement appropriate technical and organizational measures to protect data from unauthorized access, loss, or damage.
• Accountability: Organizations are responsible for complying with GDPR and must be able to demonstrate their compliance. This includes maintaining records of data processing activities and conducting data protection impact assessments when necessary.

Individual Rights Under GDPR

GDPR grants several rights to individuals regarding their personal data:

• Right to Access: Individuals have the right to access their personal data and obtain information about how it is being processed. Organizations must provide a copy of the data upon request.
• Right to Rectification: Individuals can request the correction of inaccurate or incomplete personal data.
• Right to Erasure (Right to be Forgotten): Individuals have the right to request the deletion of their personal data in certain circumstances, such as when the data is no longer needed or has been unlawfully processed.
• Right to Restrict Processing: Individuals can request that the processing of their personal data be restricted in certain situations, such as when they contest the accuracy of the data.
• Right to Data Portability: Individuals have the right to receive their personal data in a structured, commonly used, and machine-readable format. They can also request that the data be transferred to another organization.
• Right to Object: Individuals can object to the processing of their personal data for certain purposes, such as direct marketing.
• Rights Related to Automated Decision-Making: Individuals have the right not to be subject to decisions based solely on automated processing, including profiling, if such decisions have legal or significant effects.

GDPR Compliance Requirements

Organizations must take several steps to comply with GDPR:

• Obtain Consent: If personal data is processed based on consent, organizations must obtain clear and explicit consent from individuals. Consent must be freely given, specific, informed, and unambiguous.
• Appoint a Data Protection Officer (DPO): Organizations that process large amounts of personal data or engage in high-risk data processing activities may be required to appoint a Data Protection Officer (DPO) to oversee GDPR compliance.
• Conduct Data Protection Impact Assessments (DPIAs): DPIAs are required for high-risk data processing activities to assess the impact on individuals’ privacy and implement measures to mitigate risks.
• Maintain Records of Processing Activities: Organizations must keep records of their data processing activities, including the purposes of processing, data categories, and recipients.
• Implement Security Measures: Organizations must implement appropriate technical and organizational measures to protect personal data, such as encryption, access controls, and regular security assessments.
• Report Data Breaches: Organizations must report data breaches to the relevant supervisory authority within 72 hours of becoming aware of the breach. If the breach poses a high risk to individuals, they must also be notified.

Penalties for Non-Compliance

Non-compliance with GDPR can result in significant penalties, including:

• Fines: GDPR allows for fines of up to €20 million or 4% of an organization’s global annual revenue, whichever is higher. The severity of the fine depends on the nature and seriousness of the violation.
• Reputational Damage: In addition to financial penalties, non-compliance can lead to reputational damage, loss of customer trust, and legal action from affected individuals.

Final Thoughts

GDPR is a comprehensive data privacy regulation designed to protect individuals’ personal data and ensure that businesses handle data responsibly.

Compliance with GDPR requires organizations to implement strict data protection measures and respect individuals’ rights.