GDPR

Definition

The General Data Protection Regulation (GDPR) is a comprehensive data protection law in the European Union that came into effect on May 25, 2018. It sets strict guidelines for the collection and processing of personal information, emphasizing individual privacy and data security. GDPR aims to enhance individuals' control over their personal data and establishes significant penalties for non-compliance, making it a crucial piece of legislation for organizations handling data.

5 Must Know Facts For Your Next Test

1. GDPR applies to all organizations that process personal data of individuals within the EU, regardless of where the organization is located.
2. Under GDPR, individuals have rights such as access to their data, the right to rectify inaccuracies, and the right to erasure ('the right to be forgotten').
3. Organizations must appoint a Data Protection Officer (DPO) if their core activities involve large-scale processing of sensitive personal data.
4. Non-compliance with GDPR can result in fines of up to €20 million or 4% of the global annual turnover of the preceding financial year, whichever is higher.
5. GDPR emphasizes accountability and requires organizations to demonstrate compliance through documentation and risk assessments.

Review Questions

• How does GDPR impact the way organizations collect and process personal data?
  • GDPR significantly impacts organizations by requiring them to implement stricter policies for collecting and processing personal data. Organizations must ensure they obtain explicit consent from individuals before collecting their data and must provide clear information about how that data will be used. Additionally, they are responsible for safeguarding that data and must notify authorities in case of a breach, highlighting the importance of accountability in data management.
• Discuss the rights granted to individuals under GDPR and how these rights enhance personal privacy.
  • Under GDPR, individuals are granted several rights that enhance their personal privacy, including the right to access their data, the right to rectify inaccuracies, and the right to erasure. These rights empower individuals by giving them more control over their personal information and how it is used by organizations. For instance, the right to access allows individuals to know what data is held about them, while the right to erasure gives them the ability to request deletion of their personal information under certain circumstances.
• Evaluate the implications of GDPR on global businesses and how they adapt to comply with these regulations.
  • GDPR has far-reaching implications for global businesses as it requires them to reassess their data handling practices even if they are based outside of the EU. Companies must ensure compliance by adopting robust data protection measures and may need to revise their privacy policies and procedures. This adaptation often involves investing in technology for better data security, training employees on privacy regulations, and possibly appointing Data Protection Officers. Non-compliance risks significant financial penalties and reputational damage, pushing businesses worldwide to prioritize data protection.

Related terms

Personal Data: Any information relating to an identified or identifiable individual, including names, identification numbers, location data, and online identifiers.

Data Subject: An individual whose personal data is processed by a data controller or processor under the GDPR.

Consent:

A clear agreement from the data subject to allow their personal data to be processed for specific purposes, which must be freely given, specific, informed, and unambiguous.