Cross-border data transfer affects all organizations that engage online IT services, cloud-based services, remote access services and global HR databases.
There are no limitations on the transfer of personal information outside of the United States and there are also no data localization laws. Disclosures to a corporate affiliate both within the United States and outside the country are treated the same.
That said, transferring data to a third party who is not a service provider may require employee consent. Depending upon the type of information that is being transferred, employers may be required to obtain the individual’s consent before transferring the information to a corporate affiliate located outside the United States.
HR Best Practices: If your North American organization has part of its workforce in Europe and you need to rely on cross-border data transfer mechanisms, check one of our European “Cross-border Data Transfer” topics.