General Data Protection Regulation (GDPR)

Definition

The General Data Protection Regulation (GDPR) is a comprehensive data protection law in the European Union that was enforced on May 25, 2018. It aims to give individuals greater control over their personal data while harmonizing data privacy laws across Europe. This regulation addresses digital surveillance and privacy concerns by establishing strict guidelines for data collection, storage, and processing by organizations operating within the EU or handling EU citizens' data.

5 Must Know Facts For Your Next Test

1. GDPR applies not only to organizations within the EU but also to any organization that processes the personal data of EU residents, regardless of where the organization is located.
2. Under GDPR, individuals have enhanced rights, including the right to access their data, the right to rectification, and the right to erasure, often referred to as the 'right to be forgotten.'
3. Organizations must implement 'privacy by design,' meaning they need to integrate data protection into their processing activities from the start.
4. Fines for non-compliance with GDPR can be severe, reaching up to €20 million or 4% of a company's global annual turnover, whichever is higher.
5. GDPR has prompted organizations worldwide to reevaluate their data privacy practices and implement stricter measures to protect personal information.

Review Questions

• How does GDPR enhance individual rights concerning personal data and what implications does this have for organizations?
  • GDPR enhances individual rights by granting data subjects access to their personal data, allowing them to request corrections or deletions, and requiring explicit consent for data processing. This shift empowers individuals and places a significant responsibility on organizations to manage personal data transparently and securely. Organizations must develop clear processes for individuals to exercise these rights, which impacts how they collect, store, and handle personal information.
• Discuss the concept of 'privacy by design' under GDPR and how it affects organizational practices in data processing.
  • 'Privacy by design' is a fundamental principle of GDPR that mandates organizations incorporate data protection measures into their systems and processes from the outset. This proactive approach requires organizations to assess privacy risks during development stages and implement necessary safeguards. Consequently, it shifts the organizational culture towards prioritizing privacy considerations in all aspects of operations, rather than treating them as an afterthought.
• Evaluate the global impact of GDPR on international businesses and how it has influenced data protection regulations outside the EU.
  • GDPR has set a high standard for data protection globally, prompting businesses around the world to reassess their data handling practices in order to comply. Its extraterritorial reach means that even companies based outside the EU must adhere to its rules if they process EU citizens' data. This influence has led other countries to strengthen their own data protection laws in response, fostering a growing movement towards enhanced privacy regulations that mirror GDPR's principles.

Related terms

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

Personal Data: Any information that relates to an identified or identifiable individual, including names, email addresses, and IP addresses.

Consent: A clear indication by the data subject that they agree to the processing of their personal data for a specific purpose.