Managing Applicant Data and Preventing Data Sprawl
Introduction
The recruitment industry has undergone significant digital transformation with applicant tracking systems (ATS) becoming central to managing candidate data efficiently. Yet, with increased digitalisation comes heightened concerns around data privacy and the challenge of effectively managing data sprawl—particularly relevant as recent headlines highlight cases of data scraping and the misuse of candidate information by third parties. Recruitment agencies and HR departments must focus on data retention, lawful processing bases, and containing personal data within the ATS to prevent data sprawl. This article delves into these critical issues, providing strategies for managing applicant data securely while upholding privacy.
Data Retention and Storage Challenges
Effectively managing the applicant tracking systems (ATS) requires robust data retention practices to ensure compliance with data protection laws, maintain data quality, and reduce the risk of breaches. Key challenges include:
a. Defining Retention Periods: Determining how long to retain applicant data involves balancing legal requirements with operational needs. GDPR, for instance, mandates that personal data should only be kept as long as necessary for the purposes for which it was collected. Regular purging of outdated or irrelevant information can help reduce privacy risks and enhance system efficiency.
b. Secure Data Storage: Storing applicant data securely is a foundational step in data protection. Using encrypted databases, secure cloud storage, and enforcing strong access controls are essential measures. By implementing these practices, organisations can protect candidate data from unauthorised access, leaks, or breaches, which can have reputational and legal consequences.
c. Disposal of Data: Proper disposal methods, such as secure deletion or anonymisation, are essential once the retention period ends. Failure to dispose of data responsibly could increase risks of data misuse and non-compliance penalties. Following best practices in data disposal ensures that applicant data is handled in line with privacy regulations, reducing potential liabilities for the organisation.
Lawful Basis for Processing Applicant Data
Processing applicant data lawfully is fundamental for compliance with privacy laws such as the GDPR. Recruitment agencies must establish an appropriate lawful basis for handling applicant information:
a. Consent: Obtaining informed, explicit consent from applicants is a common method of establishing a lawful basis. However, challenges arise in ensuring that consent is freely given, specific, and fully informed. To address this, recruitment teams should clearly outline the purposes of data processing and provide applicants with options to control their data rights.
b. Legitimate Interests: Using legitimate interests as a lawful basis requires balancing the organisation’s objectives against the rights and freedoms of the individual. A Legitimate Interest Assessment (LIA) can help demonstrate a considered approach to this processing basis, ensuring that the organisation’s interests do not override applicants’ privacy rights.
c. Compliance with Emerging Privacy Regulations: Keeping pace with regulations beyond the GDPR, including those specific to particular regions or sectors, is essential. For example, India’s Digital Personal Data Protection Act (DPDPA) and recent updates to privacy laws across the US necessitate a thorough understanding to ensure that data processing activities remain lawful, protecting applicants and organisations alike.
Containing Personal Data Within the ATS to Prevent Data Sprawl
Preventing data sprawl—where data is dispersed across various unauthorised systems or platforms—has become crucial in light of growing concerns around data scraping and misuse in recruitment. Data sprawl not only increases the risk of breaches but also makes it difficult to track or control access. Key practices to contain applicant data within the applicant tracking systems (ATS) include:
a. Minimising Data Export and Monitoring for Data Scraping: Limiting the export of applicant data to external applications reduces the risk of unauthorised access. Recent news highlights an increase in data scraping incidents, where unauthorised parties harvest data for resale or unauthorised purposes. Establishing policies to discourage external data transfers and employing monitoring tools to detect data scraping activities can help mitigate these risks.
b. Implementing Access Controls: Ensuring that only authorised personnel can access applicant data is crucial. Implementing role-based access controls (RBAC) and using audit logs within the ATS allows organisations to monitor who accesses specific data, thereby reducing unnecessary exposure of personal data and supporting compliance with data minimisation principles.
c. Training and Awareness: Data privacy training for recruitment staff is vital in fostering a culture of privacy and security. Training should address the risks of data sprawl, the importance of using only authorised systems for data storage, and the legal and ethical obligations involved in handling applicant data. Regular training ensures that staff are aware of evolving privacy threats and are well-equipped to uphold data security measures.
Addressing the Threat of Data Scraping in Recruitment
Data scraping has become a prominent concern in recruitment, with third parties using automated tools to extract candidate information from ATS platforms, online profiles, and job boards without consent. These actions violate privacy rights and can lead to unauthorised data distribution. To combat this issue, organisations should:
- Utilise Anti-Scraping Technology: Many ATS providers now offer anti-scraping protections that detect and block automated scraping tools. Enabling these features helps safeguard applicant data.
- Implement Robust Terms of Use: Clearly stating policies against unauthorised data scraping in terms of service agreements provides a legal basis for taking action against violators.
- Monitor Online Sources: Recruitment firms can actively monitor online sources and dark web channels for signs of applicant data leakage, enabling quick response measures.
Conclusion
In the recruitment industry, balancing efficient data management with privacy compliance is a challenging but necessary task. By focusing on data retention, secure storage, lawful processing, and containing data within authorised systems, recruitment agencies can mitigate data privacy risks and build trust with candidates. Furthermore, addressing data scraping risks by implementing preventative technologies, raising awareness, and enforcing clear terms of use can help maintain data security. Ultimately, a commitment to data protection not only supports regulatory compliance but also enhances the organisation’s reputation, ensuring applicants’ trust in the recruitment process remains strong.
Formiti data International are experts in global ATS and provide Audit, and Implementation services