When the California Consumer Privacy Act (CCPA) was enacted in 2020, it included an exemption for the personal information of job applicants and employees. However, in 2023, the California Privacy Rights Act (CPRA) amended and expanded the CCPA, removing the exemption for employee data and presenting new challenges for managing employee information in California.
Since then, the law has been amended multiple times to clarify or expand the definitions of personal information and create additional compliance requirements for businesses and employers. This trend is likely to continue. An experienced employer attorney who stays up-to-date on evolving laws and regulations can help employers keep up and maintain compliance with the CCPA and other state and federal employment laws.
Understanding the CCPA and Managing Employee Data
Employers subject to the CCPA should understand how personal information is classified and regulated under the law, the rights of their employees and the steps necessary to maintain compliance. Failure to comply with CCPA employer requirements can result in civil lawsuits and damages, administrative fines and other penalties. Employers accused of violating California data privacy laws also face reputational damage that may impact their ability to attract and retain quality employees.
In this newsletter, we’ll discuss how personal information is defined and classified by the CCPA, employee rights and the steps employers can take to protect employee information and maintain legal compliance.
What Employee Data Is Considered Personal Information under the CCPA?
The CCPA defines “personal information” as “information that identifies, relates to, describes, is reasonably capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular consumer or household.”
This may include employees’ names, Social Security numbers, contact information, location data, biometrics, education history, professional credentials, and more.
The law further defines “sensitive personal information” as a subset of personal information that is subject to additional protections. Data included in this subset include the following:
- Unique identifiers, such as Social Security, driver’s license and passport numbers;
- Financial account information and login or security credentials;
- Precise geolocation;
- Information related to race and ethnicity, citizenship, religion and union affiliations;
- Contents of personal communications;
- Genetic and neural data; and
- Biometric and health information.
Some amendments to the law in recent years have addressed issues related to technological developments, like artificial intelligence and automated decision-making technology. With these technologies continuing to evolve at a rapid pace, employers should anticipate further changes to the types and definitions of regulated information.
Employee Data Privacy Rights in California
Under the CCPA, employees have specific rights related to the collection, storage and sharing of their personal data:
- The right to access their personal information and know what is collected, who has access and where data is stored.
- The right to request deletion of data with a valid reason.
- The right to correct inaccurate information.
- The right to opt out of the sharing or sale of personal data.
- The right to limit disclosure and use of sensitive personal information.
Employees are also protected from discrimination or retaliation for exercising the rights provided by the CCPA.
Staying Compliant: CCPA Employer Requirements
California employers are required to notify employees of their data collection and storage policies, and to provide information regarding the designated methods for employees to exercise their data privacy rights. When an employee makes a verifiable request to access, correct, delete, or limit the use of their personal information, the employer has 45 days to respond.
Employers must limit the information collected to only that which is necessary to serve the purposes for which the data is collected. They are required to take reasonable steps to protect that information from unauthorized access, use or disclosure.
It is critical to educate and train human resources employees and others who handle personal information on data privacy laws and best practices. Employers must also be careful to avoid potential CCPA violations that can arise when sharing data with third-party partners or vendors.
To maintain CCPA compliance, employers should audit and map the data they are collecting. Understanding what data is collected and why, where it is stored, who can access it and how it is protected is the foundation of a strong employee data privacy policy.
Policies and procedures must be structured to ensure CCPA employer requirements are met and responsible parties can handle employee requests for data access, corrections and restrictions efficiently. An experienced California employer attorney with up-to-date knowledge and understanding of employee privacy laws can be an employer’s best resource when drafting policies and procedures and managing complaints if they arise.
Contact Los Angeles Employer Attorney Susan A. Rodriguez
Susan A. Rodriguez is a Los Angeles employer attorney with more than 30 years of experience. She counsels and represents companies from across the world in the challenging environment of California employment law.
For help managing employee information in California and maintaining compliance with the CCPA, reach out to learn how Susan and the Law Offices of Susan A. Rodriguez, APC can help. Call (323) 272-3954 or complete this online contact form to schedule a consultation.
Posted by Susan A. Rodriguez, Esq.
The information, comments and links posted on this newsletter do not constitute legal advice, and no attorney-client relationship has been or will be formed by any communication(s) with the author. Do not send any confidential or privileged information to the author. No information, documents or materials you send to the author will be considered confidential or privileged by the Law Offices of Susan A. Rodriguez, APC or its lawyers and no information, documents or materials will be returned to you. If you do send any information, documents or materials to the author, you give permission for the author to include them on or in the newsletter.
For legal advice, contact an attorney at Law Offices of Susan A. Rodriguez, APC or an attorney actively practicing in your jurisdiction.
