Employee records often contain significant amounts of sensitive personal data, including payroll information, sickness absence records, disciplinary documentation and recruitment records. As businesses grow, employee information can easily become spread across emails, cloud systems, manager notes and messaging platforms, increasing the risk of inconsistent handling and GDPR breaches. This article explains the key employee data protection risks SMEs should consider and why clear HR processes, secure storage and consistent record keeping are essential for reducing compliance and employee relations risks.

