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Can I use third-party HR tools that collect personal information in Kentucky? What are the requirements?

Third-Party HR Tools and Personal Information in Kentucky

Kentucky has its own set of laws that govern the collection, use, and disclosure of personal information. If you are planning to use third-party HR tools that collect personal information in Kentucky, you must comply with the state’s laws.

Kentucky Privacy Laws

Kentucky has not enacted a comprehensive privacy law that governs the collection, use, and disclosure of personal information. However, the state has several laws that regulate specific industries and types of personal information.

  • Kentucky Consumer Protection Act (KCPA): The KCPA prohibits unfair, false, misleading, or deceptive acts or practices in trade or commerce. It also allows consumers to bring private actions against businesses that violate the law. [1]
  • Kentucky Identity Theft Law: The Kentucky Identity Theft Law makes it a crime to use another person’s personal identifying information without their consent. It also requires businesses to take reasonable steps to protect personal information from unauthorized access, acquisition, or disclosure. [1]
  • Kentucky Personnel Files Law: The Kentucky Personnel Files Law requires employers to maintain personnel files for each employee and to allow employees to inspect their files upon request. It also limits the disclosure of personnel files to third parties. [1]

Requirements for Using Third-Party HR Tools

If you plan to use third-party HR tools that collect personal information in Kentucky, you must ensure that you comply with the state’s privacy laws. Here are some requirements to keep in mind:

  • Obtain Written Consent: Under the Privacy Act, records about an individual maintained in a system of records cannot be disclosed without the individual’s written consent, except for certain exceptions. Therefore, you must obtain written consent from employees before disclosing their personal information to third-party HR tools. [1]
  • Protect Personal Information: The Kentucky Identity Theft Law requires businesses to take reasonable steps to protect personal information from unauthorized access, acquisition, or disclosure. Therefore, you must ensure that the third-party HR tools you use have adequate security measures in place to protect personal information. [1]
  • Limit Disclosure: The Kentucky Personnel Files Law limits the disclosure of personnel files to third parties. Therefore, you must ensure that the third-party HR tools you use only have access to the personal information they need to perform their services. [1]

Conclusion

Kentucky does not have a comprehensive privacy law that governs the collection, use, and disclosure of personal information. However, the state has several laws that regulate specific industries and types of personal information. If you plan to use third-party HR tools that collect personal information in Kentucky, you must comply with the state’s privacy laws, obtain written consent, protect personal information, and limit disclosure.

Source(s):
Jurisdiction

Kentucky