GDPR and the Challenge of Cross-Border Data Transfers

GDPR and the Challenge
of Cross-Border Data
Transfers

GDPR and the Challenge of Cross-Border Data Transfers

While the functions and outcomes of businesses differ in each case, one universal truth remains: data is a critical asset for all organisations.

Collecting, processing and sharing data enables businesses to operate efficiently and leverage international markets. But cross-border data transfers pose significant challenges for organisations, especially with the introduction of the General Data Protection Regulation (GDPR).

The regulation aims to protect the privacy of EU citizens, and its stringent requirements on cross-border data transfers are one of the most complex aspects businesses must navigate. One of the most complex aspects of GDPR compliance involves cross-border data transfers, and this is where many organisations find themselves vulnerable to regulatory scrutiny.

The Cross-Border Data Transfer Dilemma

The GDPR places strict requirements on how personal data is transferred outside the European Economic Area (EEA). Cross-border data transfers are only permitted if the receiving country ensures an adequate level of data protection. This is assessed various ways, inclduing:

Adequacy Decisions: The European Commission evaluates if a non-EU country provides a level of data protection equivalent to the GDPR. If so, organisations can transfer data to that country without additional safeguards. Countries like Switzerland, Japan, and Canada have received adequacy decisions.
Standard Contractual Clauses (SCCs): In the absence of an adequacy decision, companies can use SCCs to ensure data protection during transfers. These legal agreements between the exporting and importing entities outline binding obligations to safeguard personal data.
Binding Corporate Rules (BCRs): For multinational organisations, BCRs allow the transfer of data within a corporate group under strict data protection policies approved by a data protection authority.

However, recent developments, such as the invalidation of the EU-US Privacy Shield, have added significant complexity to cross-border data transfers. Businesses now face increased scrutiny over their data transfer practices, and non-compliance can result in heavy fines and reputational damage.

The Impact of Recent Developments

The legal landscape surrounding cross-border data transfers continues to evolve, especially following landmark rulings such as Schrems II in 2020, which invalidated the EU-U.S. Privacy Shield framework. Since then, organisations relying on transfers to the U.S. and other jurisdictions have faced greater compliance hurdles, needing to conduct detailed risk assessments and implement supplementary measures to ensure data security.

Similarly, local data protection authorities across the EU have taken an increasingly stringent stance on transfers, focusing on whether companies can guarantee the protection of data when it leaves the EEA. This growing complexity has made compliance even more challenging for businesses without the right tools or expertise.

Engaging with an IT Managed Service Provider for GDPR Risk Management

When it comes to protecting business data from GDPR non-compliance, working with an IT Managed Service Provider (MSP) can be an excellent strategy. One of the key tools that can be offered is the creation of a risk register, an essential resource for identifying, evaluating, and mitigating risks related to data protection.

What is a Risk Register?

A risk register is a comprehensive document that lists potential risks associated with GDPR non-compliance. It identifies areas where your business may be vulnerable, outlines the likelihood of these risks occurring, and provides actionable steps to mitigate them. This ensures that your organisation stays ahead of compliance requirements and avoids penalties.

Is this a service that Infotel UK Consulting provides?

Far from providing one-off assistance, Infotel UK exists on the strength of established and trusted partnerships with our clients.

And if we offered digital solutions without providing support for updates, security and project management?

Well, we wouldn’t be Infotel!

How does a Risk Register help?

Automated Risk Assessments: We’ll conduct thorough risk assessments to evaluate the adequacy of your data protection policies and pinpoint areas of concern. From here, a managed project team will be able to analyse how your organisation handles cross-border data transfers, ensuring GDPR compliance.
Risk Mitigation Planning: Using the Risk Register, your dedicated consultancy team will guide the development of strategies to reduce or eliminate risks. They will guide you on implementing Standard Contractual Clauses (SCCs), ensuring your data transfers are protected under GDPR.
Customised Compliance Solutions: Every business operates differently. So, we’ll take great pride in tailoring a register and compliance service to meet your company’s data protection requirements – whether you operarte in a single country or across multiple jurisdictions.

Why work with us?

By engaging with our services, your organisation can stay compliant with GDPR without the complexity. The Risk Register we develop around your requirements can help avoid fines, secure your customers’ trust, and safeguard your reputation. With a proactive approach to data protection, you can focus on growing your business while leaving compliance concerns to the experts.

Contact our consultancy team

If your business is navigating the challenges of GDPR compliance, especially with cross-border data, consult with us as your IT Managed Service Provider. We can help create a risk register that ensures your data protection efforts are effective and compliant, giving you peace of mind.