The Nordic region is part of the EU and therefore subject to the General Data Protection Regulation (“GDPR”) since May 2018 and its forerunner, the Data Protection Directive. That said, the Nordic region has long had a keen awareness of the paramount importance of careful handling of personal data.
Nordic employers, like many others, collect extensive personal information in the context of employment relationships. Aside from the usual questions for applicants (such as their school and university history), checking criminal records is, for example, not uncommon for senior executives.
In order to balance the employer's need for information with the need to protect applicants and employees, the Nordic countries have each created a clear framework for dealing with personal data. In addition to GDPR, there are numerous country-specific regulations which regulate the handling of data and impose severe penalties for violations and which include stipulations explicitly focusing on data protection in employment relationships.
It is anticipated that the country-specific regulations will be further adapted and refined in future as the uses of technology and information available expand and develop. This will also involve the development of public understanding and interpretation and of GDPR and local case law.
It is not for nothing that the Nordic countries have the reputation of being some of the safest countries in the world. The Nordic countries collect a wide range of information about their inhabitants for health and safety, crime prevention and other socio-economic purposes.
The practice of collecting such vast amounts of personal data is a double-edged sword; on one hand, it may allow the state to better protect its people, but it also raises clear risks from a data protection perspective, not least given the relatively strict requirements under both the GDPR and local laws. This tension is particularly evident in the employment sphere.
In parallel with technological progress, the Nordic countries are taking steps to protect and limit the processing and storage of personal data in the employment sphere. There are, for example, clear local provisions governing the processing of sensitive employee personal data such as drug usage, requirements for the way in which tests and examinations are carried out, provisions concerning camera surveillance in the workplace and provisions on retrieving and opening workplace emails.
Nordic countries are seeking to strike a balance between the encroachment on the employees' personal rights and employers' interest in and need for information.
Finland, Sweden and Denmark are part of the EU and therefore been subject to the basic data protection regulation since 25 May 2018. Although not a member of the EU, Norway is a member of the European Economic Area (EEA). The GDPR was incorporated into the EEA agreement and became applicable in Norway on 20 July 2018. Norway is therefore bound by the GDPR in the same manner as EU member states.
The GDPR provides the framework and at the same time the minimum standard for data protection in the Nordic countries. Each of the states enacted domestic legislation, which included a number of enhanced provisions and requirements beyond those provided by GDPR. There is a clear emphasis across the region on data security and the use of personal data, and a marked emphasis on ensuring compliance coupled with increased sanctions for failure to comply.
Unsurprisingly, the European influence on data protection in the Nordic regions is significant. Further, the national legislation across the Nordic region is similar, informed as it is by the shared history and experience of the region and characterised by the desire to supplement the GDPR in a meaningful way in the interests of the relevant country and the general public. That said, and again informed by the needs of each country and its people, there are differences across the region.
The relationship between employee and employer is facing new challenges in light of the increasing technological advances, as employers have to balance their needs and wants against the growing recognition of personal data protection and individual rights.
Employers may increasingly have access to new means of communication, monitoring systems, etc. and will need to consider how to best use these in the context of their growth and development (whether this may be to improve production, incentivise or control employees or for other purposes), whilst always considering the implications, risk and potential harm to employees. Whilst the Nordic region has always sought to be a pioneer in in safeguarding workers' rights and minimising interference with personal rights, the challenge it faces is in doing so when confronted with increasing technological advances and developments.