Employee Personal Data: What Employers Can and Cannot Do

Employee Personal Data: What Employers Can and Cannot Do In 2026, employee data protection is one of the most sensitive and regulated areas under GDPR. Employers must respect clear boundaries when collecting, storing, and using personal data. Violations can lead to significant penalties. 1. What data can be legally collected Employers may collect only data necessary for: signing and executing employment contracts salary payments and legal contributions fulfilling legal obligations (e.g. occupational health, safety) This includes: name, national ID, address, bank account, contact details, professional qualifications. 2. What employers CANNOT collect Employers cannot collect: data on sexual orientation, religion, political views (except in rare, justified cases) biometric data (fingerprints, facial recognition) without explicit consent and legal basis health data without consent and medical justification 3. Employee monitoring – clear limits Monitoring is allowed only if: there is a legitimate purpose (e.g. asset protection, security) the employee is clearly informed in advance proportionality is respected (no excessive surveillance) Examples: CCTV in common areas → allowed with notice GPS on company cars → allowed if justified email monitoring → allowed only for professional communication and with prior notice 4. Data access and transparency Employees have the right to: know what data is collected request access request correction or deletion Employers must provide this information clearly, accessibly, and free of charge. 5. Data retention after contract ends Data must be retained: only as long as legally required (e.g. 3–5 years for tax documents) then deleted or anonymized Excessive retention is a GDPR violation.