Impact Of Gdpr On Handling Personal Identifiable Information(Pii)

Impact of GDPR on Handling Personal Identifiable Information (PII)

The General Data Protection Regulation (GDPR) is a comprehensive data protection law that came into effect in May 2018. Its main objective is to protect the personal identifiable information (PII) of individuals within the European Union and European Economic Area.

What is PII?

Personal identifiable information refers to any data that can be used to identify an individual directly or indirectly. This includes but is not limited to names, addresses, phone numbers, email addresses, social security numbers, financial records, medical information, IP addresses, and biometric data.

Main provisions of GDPR:

Data Subject Rights: GDPR grants individuals several rights regarding their personal data such as the right to access their data, rectify inaccuracies, erase their data (“right to be forgotten”), restrict processing activities and object to certain types of processing.
Data Breach Notification: Organizations are required by law under GDPR to report any significant breaches involving personal data within 72 hours after becoming aware of it. Failure to do so can result in severe penalties.
Data Protection Officer (DPO): Certain organizations must appoint a Data Protection Officer responsible for ensuring compliance with GDPR requirements.
Limited Data Processing: The principle of “data minimization” prohibits businesses from collecting excessive amounts of personal data beyond what they need for a specific purpose. Organizations must have a legal basis for processing personal data and obtain explicit consent from individuals.
International Data Transfers: GDPR imposes restrictions on transferring personal data outside the EU/EEA to countries that do not provide an adequate level of protection unless appropriate safeguards are in place.

The Impact:

The implementation of GDPR has had significant impacts on how organizations handle PII. Here are some key effects:

Increased Accountability and Transparency: Organizations now need to be more transparent about their data handling practices, ensuring individuals understand how their data is being collected, stored, and used.
Tougher Penalties for Non-Compliance: The maximum penalties under GDPR can reach up to €20 million or 4% of global annual turnover (whichever is higher). This has forced organizations to take compliance seriously and invest in robust security measures.
Data Protection by Design and Default: Businesses are required to implement privacy measures at the design stage when developing new products or services. Privacy settings should be set as high as possible by default, giving users control over their own information.
Better Control for Individuals Over Their Data: Individuals now have greater control over their personal information. They can request access to their data, correct inaccuracies, object to processing activities, or even request erasure (“right to be forgotten”).

A Real-world Example: Facebook’s Fine

An example highlighting the impact of GDPR is the case of Facebook being fined £500,000 ($645k) by the UK Information Commissioner’s Office (ICO) in October 2018 due to its failure to protect user data and for not being transparent about how that data was harvested by third-party apps.

This fine is a clear indication of the strict enforcement of GDPR regulations, emphasizing the importance of organizations taking adequate measures to protect personal identifiable information.

Verdict:

The implementation of GDPR has undoubtedly strengthened individuals’ rights over their personal data and has forced businesses to prioritize data protection. It has increased transparency, accountability, and provided individuals with more control over their information. Organizations now face stricter penalties for non-compliance, which ultimately benefits both consumers and businesses alike.