GDPR

Definition

The General Data Protection Regulation (GDPR) is a comprehensive data protection law in the European Union that enhances individuals' control over their personal data and establishes strict guidelines for data collection, processing, and storage. It sets a high standard for consent, transparency, and accountability, directly impacting how organizations handle personal information and the rights of individuals.

5 Must Know Facts For Your Next Test

1. GDPR came into effect on May 25, 2018, establishing regulations for all organizations processing personal data of EU citizens, regardless of the organization's location.
2. Individuals have rights under GDPR, including the right to access their data, request corrections, delete their data (right to be forgotten), and object to processing.
3. Organizations must implement privacy by design, meaning they should consider data protection measures from the outset of any project involving personal data.
4. Non-compliance with GDPR can result in hefty fines up to €20 million or 4% of the annual global turnover of the organization, whichever is higher.
5. GDPR mandates that organizations must provide clear and concise privacy notices informing individuals about their rights and how their data will be used.

Review Questions

• How does GDPR enhance individuals' control over their personal data compared to previous regulations?
  • GDPR provides individuals with expanded rights regarding their personal data, including access to information about how their data is used and the ability to request corrections or deletions. Unlike previous regulations, it emphasizes explicit consent for data processing activities and mandates that organizations clearly communicate their privacy policies. This shift empowers individuals by ensuring they have more authority over who can use their data and how it can be utilized.
• Evaluate the role of informed consent in GDPR and its implications for organizations handling personal data.
  • Informed consent under GDPR requires that organizations obtain explicit permission from individuals before collecting or processing their personal data. This means that consent must be clear, specific, and freely given without coercion. For organizations, this necessitates reviewing existing practices around data collection and creating transparent mechanisms to ensure individuals understand what they are consenting to. Failure to adhere to these principles can result in penalties and damage to reputation.
• Assess the impact of GDPR on algorithmic bias in AI systems and how organizations can address these challenges.
  • GDPR's focus on accountability and transparency has significant implications for addressing algorithmic bias in AI systems. Organizations are required to explain how algorithms process personal data and make decisions that affect individuals. To comply with GDPR, companies must ensure that their AI systems are designed with fairness in mind, conduct regular audits to identify potential biases, and implement corrective measures where necessary. This creates an opportunity for organizations to enhance ethical practices while aligning with regulatory requirements.

Related terms

Personal Data: Any information that relates to an identified or identifiable person, including names, identification numbers, and location data.

Data Subject: An individual whose personal data is being collected, held, or processed by an organization.

Data Protection Officer (DPO): A designated person responsible for ensuring an organization complies with GDPR requirements and serves as a point of contact for data subjects and authorities.