Gartner Research

What Does the ECJ's Decision on Safe Harbor Mean for HCM Technology Deployments?

Published: 20 November 2015

ID: G00293202

Analyst(s): Helen Poitevin, Dawn Hubbard

Summary

The European Court of Justice's invalidation of Safe Harbor for EU-U.S. data transfer may impact how many organizations manage data privacy and protection for human capital management applications. HR and HR IT leaders must review their data privacy practices and assess what changes may be needed.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • Following the decision by the ECJ to invalidate Safe Harbor for EU-to-U.S. data transfer, HR and HR IT leaders in organizations that use the Safe Harbor framework for intracompany transfer of employees' personal data from EU countries to the U.S. need to review their approach to data privacy and protection
  • The ECJ's decision means that references in SaaS HCM vendor agreements to Safe Harbor alone as a means of legitimizing an EU-to-U.S. personal data transfer may be considered invalid
  • It will take time for the future of EU-U.S. data privacy regulation to become clear

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