EU-US Privacy Shield
Cybersecurity is one of the most significant growing issues. The public wants to know where their data is going, what it is used for, who is protecting it, why companies need the data and how do companies make sure that it is all secure and protected? Such uncertainty has caused considerable commotion and fear.
To address this issue, The United States (US) government alongside the European Union (EU)formed a shield to protect consumer data. This shield specifies the type of regulations that companies have to follow to transfer data to and from the US and EU, as well as clarifying the rights that consumers have when working with companies that have adopted the EU/US Privacy shield.
The privacy shield clarifies that consumers have the right to know what type of data a company needs for the company to continue providing adequate service to the consumer. It also hands the consumer control to decide what kind of data the company could keep; the consumer could also tell the company to stop sharing the data with any third party companies or completely delete the data. Such clarity provides certainty to customers that companies will respect their private information. Companies who work under the shield can only transfer data to other companies who have the same privacy laws or the same level of protection. A contractual agreement is required to process any personal data between any third party companies. The penalty for not following such protocol has to pay thousands or millions of currency, all dependent on the size of the company.
One of the most useful things about the privacy shield is that it takes less time to approve and is less expensive than other contractual agreements. This contractual agreement could change in the future for the new technology. So that’s why the EU-US Privacy Shield will add new layers of protection designed to support the data integrity of citizens and businesses alike. To join the privacy shield framework, the US-based organization is required to self-certify to the department of commerce.
Second, the organization must publicly declare its commitment, thereby promising to the consumers that it will process data exclusive for principles. Participating organizations must provide individuals,with notice of the organizations in privacy shield, the type of data collected, and the purpose for which the data is collected. All organizations must inform the individuals of any third parties to whom their data will be transferred, their right to access their data, and then the means for limiting the use and disclosure of their data.
As previously mentioned, organizations must provide individuals with access to their data as well as the opportunity to correct, amend, or delete information that is inaccurate. In conclusion, the privacy shield imposes greater obligations upon companies, organization, their associates, and vendors than existed under the framework. In the context of rights accorded to individuals. These requirements are along with the General Data Protection Regulation (GDPR). The privacy shield also includes mechanisms in detailed for resolving disputes and providing resources for individuals whose rights been violated.
Furthermore, the EU/US privacy shield reshapes the way companies handle business and the way consumers trust and rely on companies. This type of change will impact the way companies think about future laws and the way they come about handling certain situations. Cybersecurity will be a significant factor that consumers will look for when choosing what type of business they want to associate with, therefore, having a well-developed policy and having a great take on cybersecurity will be the key to success.
Sources:
https://www.insightsforprofessionals.com/blog/what-is-eu-us-privacy-shield
https://www.privacyshield.gov/Program-Overview
