What is the GDPR, New Law of Data Protection 2018
As of May 2018, the General Regulation of Data Protection of the European Union (GDPR) comes into force for the protection of personal data. This new law is a significant impact on organizations and their way of handling data. The penalties are quite high for those companies that commit a breach of the new law.
What is GDPR?
The GDPR (General Data Protection Regulation) regulates the treatment of persons, companies or organizations of personal data related to persons in the European Union (EU). This set of regulations was developed for the protection of data and privacy. The impact and consequences will be felt all over the world since almost all the great technological giants have millions of customers in Europe.
What is the objective of the GDPR?
The main objective of the GDPR is to give citizens and residents control over their personal data and to simplify the regulatory environment of international business by unifying regulation within the EU. The Regulation was adopted on April 27, 2016. It becomes an executive as of May 25, 2018 after a transition of two years and, unlike a directive, does not oblige national governments to approve any enabling legislation, for what is directly binding and applicable.
For whom does the GDPR apply?
The GDPR impacts every organization that has and/or uses European personal data. This means that no matter where you are in the world if you sell a product or service to European citizens you will have to respect the new law.
Technology companies need to reveal the data of the users they collect. European residents will be able to request access to that information, know how it is used and require companies to eliminate or correct it.
What are the penalties for GDPR?
To comply with these laws, European Union regulators can fine companies that do not comply with up to 4% of their income worldwide.
European Regulation of Data Protection:
- Category of “minor penalties”: 10 million euros or 2 percent of the annual total global business volume of the previous financial year (the highest amount being chosen)
- Category of “serious sanctions”: 20 million euros or 4 percent of the total annual total turnover of the previous financial year (the highest amount being chosen)