Safeguarding Confidential Employee Records

The electronic age has increased numerous workplace efficiencies, the most significant of which are obtaining, storing, using and transferring data. Yet these benefits to data management have not come without burdens. Because information has become increasingly easy to obtain and transfer, employers must take precautionary measures to ensure that confidential data is adequately protected. This applies not just to proprietary business information, but also to confidential employee data. This article provides an overview of statutory, constitutional and common law concerns with respect to obtaining and maintaining confidential employee information, and penalties that employers may face for failing to protect the security of confidential employee records.