European Union has enforced a new data protection law namely GDPR which is prompting the newsletter publishers, financial and e-marketers to solicit our approval to continue their one-sided conversations with us.
What is GDPR?
General Data Protection Regulation (GDPR) is a law enforced by the European Parliament in May 2016 to bring into effect stringent ground rules for all entities that collect, store or use personal data belonging to residents of the EU member countries.
The law came into force recently on May 25 after a two-year grace period.
Objective of GDPR
It is aimed to establish the right to privacy as one of the fundamental rights for the EU residents. It therefore, requires all the firms dealing with such personal data to be transparent about what they wish to do with it and take the user approval before they are made to share it with the firm.
It also requires the firm to seek consent of the user by an explicit opt-in or a signature on a consent form.
It means an end to the default check boxes which are ticked by themselves.
How it will work?
It requires approvals at various stages such as – once the data is shared, consumers are given the specific right to object to specific uses of their personal data and can subsequently demand a deletion of their past records any time.
Firms which have their data breached through hacking are required to notify the customers within 72 hours of such breach.
The Significance of GDPR
It has shut down several United States linked news websites which were relying on unauthorised access of personal data of consumers.
It does not merely apply to the companies based in the EU but to all the firms that are involved in sale of goods and services to the EU citizens, even to those who are merely monitoring the behaviour of the citizens.
It affects all the entities who are collecting the data and those who are processing the data on their behalf.
It imposes a whopping fine of 20 million Euros or 4 percent of a company’s global sales (whichever is higher) for serious violations of the act.
Lessons for India
India should obtain serious lessons from this legislation and replace its archaic privacy laws which are enshrined under the Information Technology Act 2000 by establishing a new expert committee to formulate such stringent measures against the concerned firms. GDPR can act as a guide to our privacy legislations.
Source – The Hindu Business Line
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