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Freeman Cebu Business

NDC moves to improve data privacy standards for business!

INTEGRITY BEAT - Henry J. Schumacher - The Freeman

During a briefing on APEC CBPR on Thursday last week, National Privacy Commission (NDC) Chairman Liboro announced the following actions and concerns:

1.The Philippines signed up to be the ninth country in the APEC Cross-Border Privacy Rules system. Once approved, the country will need Accountability Agents to certify companies;

2.The NPC plans to launch the Philippine Privacy Trust Mark before the end of the year;

3.The NPC and the Personal Data Protection Commission of Singapore signed an MOU on cooperation in personal data protection. They have agreed to share best practices in data protection and to combine efforts in cross-border data flow, such as the APEC Cross-Border Privacy Rules (CBPR).

4.The Philippines will take an active role in leading and harmonizing Data Privacy Regulations in ASEAN and Asia;

5.One of the biggest concerns in the Philippines is business data negligence where data breaches due to carelessness happen. ‘Being hacked is not a crime, but being negligent is’; and added

6.Privacy is now becoming a differentiator among businesses as Filipinos and international clients are more likely to choose a company that is more trustworthy when it comes to data.

In this context, it may be worthwhile to provide some background information:

1.What is the APEC Cross-Border Privacy Rules (APEC CBPR) system?

The system is a voluntary certification mechanism that allows certified companies to transfer data (inter- and intra-company) in a safe manner across APEC economies. There are presently eight participating economies: USA, Mexico, Japan, Canada, Singapore, South Korea, Australia and Taiwan.

2.Why are the APEC Cross-Border Privacy Rules (APEC CBPR) important for business?

a.Personal data and its free movement are the foundation of digital innovation and economic growth in the coming years. For the Philippines, given the country’s ambition to be a major player in the data / information economy, creating trust online and in other digital activities is crucial. With large volumes of data and information transmitted online, the CBPR system also facilitates undesirable activities such as cybercrime.

b.APEC CBPR is helpful for businesses as it provides a roadmap for companies to set their own internal rules and procedures that meet the system’s standards for data protection. It gives businesses the flexibility to design company policies that meet their own needs while ensuring adequate compliance with privacy rules across international markets.

3.How do companies become certified?

Once the Philippines formally joins CBPR, it needs to establish the certification mechanism most appropriate to the domestic environment which includes selecting Accountability Agents who will certify companies.

The APEC CBPR certification mechanism consists of

a.Self-assessment and submission of relevant documents,

b.Compliance review by Accountability Agents,

c.Recognition and acceptance, and

d.Compliance and enforcement by Accountability Agents and the National Privacy Enforcement Authority which is the NPC in the Philippines.

4.When will the system take effect for the Philippines?

As the Philippines formally expressed its intent to join the system in August this year, it is trusted that the official acceptance to join the existing eight economies will come before the end of the year or early 2020.

There is no doubt in my mind that NPC Chairman Liboro is a man on the move, seeing himself in the driver’s seat to push and implement privacy standards here and abroad. Please inhale his above statement: ‘Being hacked is not a crime, but being negligent is’; in other words: you and your company will not get away with negligence in data privacy protection in future! You better act now. If assistance is needed, let us know. You can contact me at [email protected]

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