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GDPR

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Business Ethics

Definition

GDPR, or the General Data Protection Regulation, is a comprehensive data privacy and security law that governs the collection, use, and processing of personal data of individuals within the European Union (EU). It aims to protect the fundamental rights and freedoms of EU citizens by ensuring the lawful, fair, and transparent handling of their personal information.

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5 Must Know Facts For Your Next Test

  1. GDPR establishes strict rules and principles for the lawful processing of personal data, including the requirement of obtaining explicit consent from the data subject.
  2. Companies that collect or process personal data of EU citizens must comply with GDPR, regardless of their physical location, and face significant fines for non-compliance.
  3. GDPR grants data subjects various rights, such as the right to access, rectify, and erase their personal data, as well as the right to object to certain processing activities.
  4. The regulation requires data controllers to implement appropriate technical and organizational measures to ensure the security and confidentiality of personal data.
  5. GDPR has far-reaching implications for businesses and organizations, as it impacts their data collection, storage, and processing practices, as well as their relationships with customers and third-party service providers.

Review Questions

  • Explain how GDPR relates to the concept of loyalty to the company in the context of data protection and privacy.
    • GDPR's emphasis on the lawful and transparent handling of personal data requires companies to balance their business interests with the fundamental rights and freedoms of their customers and employees. This can create tensions, as companies may need to prioritize data subject rights over certain internal data processing practices. Maintaining loyalty to the company while upholding GDPR compliance can be a delicate balance, as employees may need to report or escalate potential data privacy breaches, even if they could negatively impact the company's operations or reputation.
  • Describe how GDPR may impact the use of robotics, artificial intelligence, and the workplace of the future.
    • GDPR's strict requirements around the collection, use, and processing of personal data have significant implications for the deployment of robotics and AI in the workplace. Companies must ensure that the data collected and used by these technologies is lawful, transparent, and respects the rights of employees and customers. This may require additional safeguards, such as obtaining explicit consent, implementing data minimization principles, and providing clear information about automated decision-making processes. The workplace of the future, with increased reliance on AI and automation, must be designed with GDPR compliance in mind to protect individual privacy and avoid potential regulatory penalties.
  • Evaluate how GDPR's principles of data minimization and purpose limitation may influence an organization's data governance and business practices.
    • GDPR's principles of data minimization and purpose limitation require organizations to collect and process only the personal data that is necessary to achieve a specific, legitimate purpose, and to refrain from using that data for unrelated or incompatible purposes. This can significantly impact an organization's data governance and business practices, as it may necessitate a thorough review and restructuring of data collection, storage, and usage policies. Companies must carefully assess their data needs, implement strict data minimization practices, and ensure that personal data is only used for the purposes explicitly communicated to and consented to by data subjects. Failure to adhere to these principles can result in regulatory fines and reputational damage, underscoring the importance of aligning GDPR compliance with broader organizational strategy and decision-making.

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