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

Use of Third-Party HR Tools in Massachusetts

If you are using third-party HR tools that collect personal information in Massachusetts, you must comply with the state’s data privacy laws. Specifically, you must comply with MGL Chapter 93H, Section 3, which outlines the duty to report known security breaches or unauthorized use of personal information.

Under this law, if you know or have reason to know of a breach of security or unauthorized use of personal information, you must provide notice to the owner or licensor of the information as soon as practicable and without unreasonable delay. Additionally, if you own or license the data, you must provide notice to the attorney general, the director of consumer affairs and business regulation, and the affected resident(s).

To comply with this law, you should ensure that your third-party HR tools have appropriate security measures in place to protect personal information. You should also have a plan in place for responding to security breaches or unauthorized use of personal information, including notifying the appropriate parties as required by law.

In addition, when disposing of records containing personal information, you must meet the minimum standards for proper disposal of records containing personal information outlined in MGL Chapter 93I, Section 2. If you contract with a third party to dispose of personal information, the third party must implement and monitor compliance with policies and procedures that prohibit unauthorized access to or acquisition of or use of personal information during the collection, transportation, and disposal of personal information [1.2].

It is important to note that the specific requirements for using third-party HR tools may vary depending on the nature of the personal information being collected and the specific tools being used. Therefore, it is recommended that you consult with a legal professional to ensure that you are in compliance with all applicable laws and regulations.

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Source(s):
Jurisdiction

Massachusetts