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Question:

Do Employers need permission to hold personal data on employees under the Data Protection Act?               

 

 

Answer:

This note only touches on the extent of Employers obligations under the Data Protection Act.

 

Normal Personal Data:

It is not necessary to get an employee’s express permission to hold data on them. Imagine someone sending in their CV to a prospective employer. It would be silly if the employer had to obtain express permission in order to read or ‘process’ it.

 

Under Schedule 2 of the Act an organisation can process the data if

·         The data subject has given his consent (consent will not always be explicit though), or

·         Its necessary for the performance of a contract or enter into a contract which the data subject is a party (ie to recruit or employ Jo Bloggs), or

·         It’s necessary to comply with a legal obligation (ie under the Employment Rights Act, Discrimination Acts etc)

·         It’s necessary to protect the vital interests of the data subject (for the administration of justice etc)

 

‘Sensitive Personal Data’

It is however normally necessary to obtain the employee’s explicit permission to hold ‘sensitive’ personal data on them. In the HR field sensitive personal data will include ethnic monitoring information, Trade Union membership, information about health conditions or criminal convictions which you may ask for at the recruitment stage or later.

 

In the case of ‘Sensitive Personal Data’

·         The data subject must give explicit consent (ie by signature, after being told clearly the personal data and the use involved and consent must be freely given) or:

·         The processing is necessary to perform legal obligations imposed on the data controller in connection with employment

·         Or to protect the person’s vital interests if consent cannot be obtained.

 

Processing of sensitive personal data can only take place:

·         for legitimate reasons

·         not for profit.

·         With no disclosure to a third party without the person’s consent.

 

In practice:

Permission should be sought to complete an ethnic monitoring form (which is why these forms are often separate from the application form).  Arguably it could be collected in order to monitor compliance with the Race Relations Act.

 

It would be inappropriate to query trade union membership to decide whether or not to employ someone at the application stage. It might be appropriate to ask them once the employer has recruited them so the employer knows whether to collect Union dues.

 

The Code states ‘The collection of sensitive personal data must however be ‘necessary’ for exercising or performing a right or obligation which is conferred or imposed by law.’  For example, if the employer wants to carry out criminal record checks to protect the safety of staff, it should be sufficient only to do so for successful applicants before confirming the appointment.

 

What permission do employers need to process data relating to job applications and vetting?

 

As above, express permission is not required in job applications unless the data is ‘sensitive’

 

The Code of Practice suggests that:

·         if recruitment agencies are being used by the employer, they should identify themselves and explain how personal data received will be used and disclosed unless it is self evident.

·         Only ask about criminal convictions if it can be justified in terms of the role offered (ie Head of Finance)

·         Explain the checks undertaken to verify the information provided on the application form (ie checking Qualifications)

·         If it is necessary to secure the release of documents or information from a third party, get a signed consent form from the applicant unless consent to release has already been given in some other way

 

What permission do employers need to process data on medical history?

 

Data on medical history is likely to be ‘Sensitive Personal Data’ and will include information on the personnel file about:

·         Results of eye tests / ergonomic reports

·         Any drugs testing

·         Occupational Health Physician reports

·         Disability assessment for reasonable adjustments

 

Employers should normally obtain the employee’s explicit consent to hold such information.

·         If the employers asks on an application form ‘Do you have any medical conditions of which we should be aware?’ Explicit consent must inevitably be given if the applicant answers and signs the form. The form should state to what use the information will be put though.

·         If the employer refers an employee to Occupational Health for a report, the employer should first get the employee to sign a form allowing you to receive the report.

 

There are exceptions to the need to get explicit permission, such as:

·         If the employer holds the sensitive medical data to ensure the health and safety of a member of staff, you do not need explicit consent.

·         If the employer holds the sensitive medical data to comply with obligations under (say) the Disability Discrimination Act, it does not need explicit consent.

·         If the employer obtains the sensitive medical data as part of actual or prospective legal proceedings, it does not need express consent.

 

Can employers hold the CV’s of unsuccessful job applicants?

The Code says:

·         Ensure that personal data recorded and retained following the interview can be justified as relevant to and necessary for the recruitment process itself or for defending the process against challenge (ie being sued for discrimination)

 

·         Inform unsuccessful applicants there you intend to keep their names on file for future vacancies (if appropriate) and give them the opportunity to have their details removed if they wish (ie in the rejection letter)   See also our page on data subject access requests.

 

Last reviewed:   July 2010

 

 

 

 

James Carmody

Employment Solicitor

 

Reculver Solicitors

12-16 Clerkenwell Road

London EC1M 5PQ

 

www.reculversolicitors.co.uk

info@reculversolicitors.co.uk

Tel 0207 324 6271

 

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