Effective General Data Protection Regulation (GDPR) Compliance Amid Regulatory Shifts

The European Court of Justice (ECJ) issued a significant ruling at the end of 2023 regarding liability for General Data Protection Regulation (GDPR) violations, emphasizing the increasing risk for companies, according to an article by Navex.

The case involved Deutsche Wohnen, fined €14.5 million by German regulators for retaining tenant data excessively. The company argued that liability required proof of management involvement, but the ECJ ruled that legal entities can be held accountable regardless of management’s knowledge.

This ruling grants regulators more latitude in enforcing GDPR, necessitating robust compliance measures. Effective compliance involves conducting a gap analysis against frameworks like the NIST Privacy Framework or ISO 27701, aligning policies and controls accordingly. Implementing technical, process, and organizational controls is crucial, alongside third-party risk management for entities handling personal data on behalf of the company.

The ruling underscores the urgency for companies to prioritize data privacy compliance, given the pervasive nature of similar regulations worldwide. Organizations must cultivate a privacy-conscious culture and collaborate with leadership and business units to align practices with regulatory requirements.

The ECJ ruling reinforces the imperative for companies to strengthen GDPR compliance efforts and embrace a proactive approach to data privacy. Compliance teams must navigate evolving regulations and foster a culture of privacy awareness to mitigate risks effectively.