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  • RSG Legal talk GDPR

    Posted In: General

    Posted Date: 07/08/2017 14:00:16

General Data Protection Regulations

As we set out in our last update, regardless of Brexit, the General Data Protection Regulation (GDPR) will replace The Data Protection Act 1998 (DPA) from May 2018. The GDPR introduce the biggest change to data protection law in a generation. It is a comprehensive overhaul of the current legislation, building on existing principles but imposing new, more stringent requirements on all processors of personal data.

The key changes are as follows:

  • Substantially increased Fines – up to 4% of annual global turnover or 20,000,000 Euros;
  • Accountability – obligation to demonstrate compliance by ongoing and detailed record keeping;
  • New Individual Rights – e.g. rights to be forgotten;
  • Data Breaches – notification requirements to Regulators and to Individuals
  • No more ICO Notifications - emphasis now on ability to demonstrate compliance.
  • Data Protection By Design and By Default – the need to demonstrate that data protection considerations have been integrated into your activities.
  • Increased obligations on those handling data - not just on the data controllers but all data processors
  • New rules covering consent and determining when and how the use of data is fair.

As recruiters we obviously deal with a raft of personal data on a daily basis. We are in the process of undertaking a comprehensive data audit around the areas of our business which involve the use of data to really understand what data we process, for what purposes and on what basis.We will then be assessing if, and if so, how, how our processes need to be adjusted to ensure compliance with the new GDPR when there are implemented.

We will keep you updated as our review develops and will, of course, give you advance notice if any changes are required to our processes or procedures.

Criminal Finances Act

The Criminal Finances Act came into force on 27 April 2017 and introduces new corporate offences of failing to prevent the facilitation of UK or foreign tax evasion. Part 3 will come into force through a Statutory Instrument in Autumn 2017. It introduces a new corporate criminal offence for businesses that fail to put in place reasonable procedures to prevent the facilitation of tax evasion by their employees and representatives. It will apply to non-UK based, as well as UK based, corporations and partnerships which fail to prevent their representatives from criminally facilitating a UK tax loss.

There is now a criminal risk for recruitment companies utilising non-compliant umbrella and management companies in the UK and abroad and those with lax policies on the “183 day rule” for overseas limited company contractors.

We are confident that the processes we use to audit our supply chain and the use of a PSL combined with our very stringent anti-bribery and corruption polices and processes mean we are well ahead of many recruiters in securing compliance with this new law.

- Amanda Mallender, Head of Legal

Please note that this legal update is provided by way of general information only. It does not constitute legal advice and you should seek advise from and rely on your own professional advisers where required.

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